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13 March 2019 | Story Xolisa Mnukwa
financial savvy
Over 60% of South African students are in debt and spend more than the average South African adult.

For many students, university is their first money-management experience, and it is therefore crucial for them to prioritise basic personal-finance knowledge in order to avoid poor money management, and not knowing where their money is going.

Various other educational institutions, facilities, and initiatives such as Student Connections highlight student financial wellness as a topic of importance at higher-education institutions, because of the following reasons:

1. Low retention rates (university dropouts)
2. Loan default (graduating with student-loan debt)
3. Financial hardships affecting future success (low academic performance)

According to LinkedIn, a business and employment-oriented service, the spending and saving habits you develop in college are likely to stick with you throughout your adult life.

A personal finance study conducted by University of the Free State (UFS) Economics and Finance Lecturer, Cecile Duvenhage, revealed trends on how much students spend, and what they spend it on. Her outcomes discovered that students believe money buys them worthwhile experiences; it also revealed that over 60% of South African students are in debt, spending more than the average South African. 


According to Duvenhage, the best way to optimise your use of money is to understand three things:

1. The psychology of money – relationship with money, your goals (reality, beliefs, perception, experiences, repeated messages)

2. The science of money – where is your money? What are you using it on, and how to make more (investing, savings, assets, liabilities, expenses, and income/pocket money)

3. The art of money – creating a financial game plan to stay afloat (knowledge, context, personal goals, game plan)

The Guardian website also highlights important tips for managing your money:

- If you’re struggling to manage your personal finances, ask for help. The earlier you get support, the less susceptible you are to overspend 

- If you have financial aid, be sure to complete and send back your signed agreements in order to avoid delays in obtaining your money

- Add up your income, and then deduct all your essential expenses.

- Essential expenses include: tuition fees, rent/accommodation, electricity, and other accommodation expenses, groceries/food, and travel costs

The article, 6 common money management mistakes college students make, advises students to “live within your means, and [to] make choices based on the money that you have available.” 

The article further recommends that students download a free, easy-to-use budgeting app such as Fudget: Budget Planner or Intuit Mint on their cellphones, which automatically creates a basic spending plan to personalise according to their means.

For enquiries or assistance with money management, contact finaid@ufs.ac.za 

News Archive

Reaction by the Rector of the UFS after a meeting with student leaders
2008-02-25

Reaction by the Rector and Vice-Chancellor of the UFS, Prof. Frederick Fourie, on the agreement reached at a meeting with student leaders held on Friday, 22 February 2008

Note: This is meant to be used together with the full joint statement that was issued by the UFS management and student leaders on 22 February 2008.

The memorandum of the primes of the University of the Free State’s (UFS) residences was handed to top management on Wednesday, 20 February 2008. In the memorandum they asked for a meeting with the UFS management by Friday, 22 February 2008. Such a meeting was arranged and took place.

The UFS top management, all the residence primes as well as the house committee member for first years, the executive of the Main Campus Student Representative Council (SRC) and residence heads were present.

In contrast to what is suggested in the Volksblad report of Saturday, the discussion went off very well. There was no consternation or shouting or “emotions that ran high”. It was a civilised, decent meeting as it should be at a good university. Of course, now and again individuals spoke out strongly and very enthusiastically, but it was all decent and orderly. The contribution of the primes was insightful and well formulated.

Because the top management and I wanted to listen very carefully what the problems and frustrations were, we spent nearly five hours in the meeting. The issues in the memorandum were discussed one by one. In some cases I could take a decision immediately and finalise the matter, in other cases, the management provided information that could largely finalise a matter. A number of other matters must be investigated further.

The management undertook to respond comprehensively and in writing to all the issues raised in the memorandum by Monday, 25 February 2008. This will be handed to the primes but will not be handed to the media beforehand.
It is obvious that there are matters at the university that can be better managed and that there are problems with communication within the Student Affairs division. A major change such as the new policy on diversity places huge demands on management and the administration, and problems were to be expected. However, we understand the frustration of the students in residences.

On the other hand, students don’t always make matters easier. The strong opposition of white student leaders last year, and their unwillingness to co-operate in preparation for 2008 is well known. This year it is going better. But often student leaders take positions that are very inflexible. They also see no room for adapting old habits and simply want their own way. Their contributions are then full of statements such as “It cannot be done”. This delays measures such as the full implementation of expert interpreting services, which, for the management, is a very important measure (and which is functioning very well in certain residences). Communication from student leaders to management is also not always what it should be.

At the end of the meeting student leaders and management reached an important agreement and issued a joint statement in which they committed themselves to the integration process and to good co-operation and communication. This was an important step which is a sign of rebuilding trust. Naturally everyone will still have to work hard to build on this and to strengthen mutual trust.

The course and outcome of Friday’s discussions, as requested by the student leaders, show that issues can be addressed and resolved by means of us talking to one another. This is why it is so sad that primes and house committee members went on strike on Wednesday already and stayed in tents in front of the Main Building – leaving their residences without its leadership. This created an opening for what appears to have been well planned and co-ordinated acts of vandalism by inhabitants of residences on the campus on Wednesday.

Such vandalism is unacceptable and no one can justify it.

Fortunately, order could be restored quickly during the night and all academic activities could resume without any disruption on Thursday and Friday.

FCvN Fourie

Media Release
Issued by: Lacea Loader
Assistant Director: Media Liaison
Tel: 051 401 2584
Cell: 083 645 2454
E-mail: loaderl.stg@ufs.ac.za   
24 February 2008

 

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