Study abroad is exciting but can be expensive. Read these tips for financial planning to help enjoy your international student experience.
The study abroad experience continues to be sought after and valued for a range of personal and professional reasons. From better intercultural awareness and sensitivity to developing confidence, impressing employers, and learning a second language, international education attracts more students each year. In 2019, there were over 6 million international students, up from 2 million in 2000. This number is projected to reach 8 million by 2025, according to Oxford University’s Organization for Economic Co-operation and Development (OECD).
Regardless of which country you choose, finding a way to finance your education, travel, and living expenses while abroad can be challenging. Following are some approaches to raising and managing your study-abroad finances.
Apply early
The earlier you apply and the more schools that accept you, the more time you will have to look at your options, evaluating the best school, program, and financial approach.
Assess your costs and figure out your budget. Include expenses beyond tuition such as:
- Travel (within the host country, to neighboring countries, as well as travel to and from)
- Housing
- Living
- Entertainment
- Healthcare
- Insurances and emergency
Start saving and living within that budget to get ready.
Break down your budget into weekly, monthly, and yearly amounts so you have a realistic picture of your financial life while attending school abroad. On average, a semester costs students $5,000-15,000 to study in some of the most popular countries, according to GoOverseas.com.
Figure out how to meet your costs/budget.
Make your study abroad vision come true by tapping multiple resources to ensure you have the funds you need. Be candid with yourself and assess if loans and their interest rates are your best option. Here are some income resources to consider:
- 529 savings plan, crowd sourcing, family loans, or sponsorships
- Jobs on or off campus
- Scholarships, financial aid, grants, school loans, and other funds from federal, state, school, and other sources. (Be sure to complete the FAFSA early.)
- Research scholarships at the USA Study Abroad site sponsored by the United States Department of State.
- Investigate national, institutional, local, and private options when researching scholarships. com provides ample info on scholarships and study abroad programs around the world.
- Check to see which general scholarships can be applied toward study abroad programs.
- Research lesser-known scholarships. More scholarships may be available for schools beyond Europe and Australia. And many programs offer fee reductions for students staying a year vs. a semester.
- Look into what financial aid is available from federal and state governments. Federal student aid includes both loans and grants. Know that student loans can have high interest rates and may require a guarantor. Learn more at the U.S. Department of Education.
- Other income sources
- Tap into community organizations and local heritage organizations. Groups like the Rotary, chambers of commerce, your Japan American Society, even your local library may sponsor you or hold a fundraiser on your behalf.
- See if your parents’ employers offer scholarships for children of employees.
- Ask credit unions, banks or major employers for donations or scholarships.
- Find out if your sorority or fraternity can sponsor you.
- Ask relatives if they will provide a low or no-interest loan.
Set up a plan to have easy access to money overseas.
- International money transfers are one way
- Cross-currency exchange (money will be available to you in the local currency)
Western Union Convenience
Western Union has been reliably transferring money for over 150 years and has since created one of the largest money movement networks. As a study abroad student, you’ll be able to conveniently pick up cash at one of our or have the money deposited to your account through the Western Union mobile app.
Western Union’s platform provides seamless cross-border money transfers, and our leading network connects 200+ countries and territories and more than 130 currencies. With our many services via the app and WU.com, we offer simple, convenient ways to send and receive money reliably around the world.
* Agent location count valid as of December 31, 2021 .
