Smart Budgeting Tips to Stay Financially Healthy While Studying Abroad
Studying in Germany is an exciting opportunity — world-class education, diverse culture, and the chance to live in the heart of Europe. But along with this opportunity comes a big responsibility: managing your finances wisely. While public universities in Germany offer tuition-free education, the cost of living can still be high, especially in larger cities like Munich, Frankfurt, or Berlin.
As a student, especially an international one, your financial health can affect everything — from your academic performance to your mental well-being and your overall experience in Germany. This guide offers practical strategies for managing money effectively, saving smartly, and ensuring financial stability throughout your academic journey.
💳 1. Create a Student Budget – And Stick to It
Start by identifying your monthly income vs. your expenses.
Typical student income sources:
- Blocked account (if you’re an international student)
- Part-time job earnings
- Scholarships
- Family support
- Savings
Common student expenses:
| Expense Category | Estimated Cost (Monthly) |
|---|---|
| Rent & Utilities | €300–€600 |
| Food & Groceries | €150–€250 |
| Health Insurance | €110–€120 |
| Transportation | €30–€60 (with student pass) |
| Internet & Phone | €30–€50 |
| Entertainment | €50–€100 |
| Miscellaneous | €50–€100 |
💡 Tip: Use budgeting apps like Numbrs, Mint, or Monefy to track every euro you spend. Be consistent!
🏦 2. Open a Student Bank Account in Germany
Once you arrive, open a free student bank account with a reliable bank. This helps you:
- Receive part-time job salaries
- Pay rent via direct debit
- Access online banking and SEPA transfers
Popular student-friendly banks:
- N26 – Online bank with multilingual support
- Deutsche Bank – Traditional, reliable, and recognized for blocked accounts
- Commerzbank – Free accounts for students
- DKB – Offers free ATM withdrawals across the EU
💡 Tip: Avoid accounts with monthly maintenance fees. Many banks offer free accounts for students under 27.
📈 3. Prioritize Fixed Costs
Your fixed expenses (rent, insurance, public transport) are usually non-negotiable. Make sure these are paid first every month. This prevents overdue fees and ensures you’re not short on essentials.
Create automatic payments from your bank account on the same day you receive income (e.g., your monthly allowance from the blocked account).
💼 4. Find a Part-Time Job or Student Work (“Werkstudent”)
Germany allows international students to work 120 full days or 240 half-days per year.
This can supplement your income and reduce pressure on your savings.
Common student jobs:
- Café or restaurant server
- Research assistant (HiWi)
- Delivery driver
- Tutoring
- Internship (paid)
💡 Tip: Look for “Werkstudent” positions. These are student jobs related to your field of study and often pay well (around €12–€18/hour).
🧾 5. Use Student Discounts Everywhere
Your student ID is gold in Germany. With it, you can get discounts on:
- Public transportation (semester ticket)
- Museums, theaters, cinemas
- Software (Microsoft, Adobe, Spotify)
- Gym memberships
- Restaurants and cafés near campus
- Train tickets (e.g., BahnCard 25)
💡 Tip: Always ask “Gibt es einen Studentenrabatt?” (Is there a student discount?) before paying.
📦 6. Save on Rent: Dorms or Shared Apartments (WG)
Housing is your biggest cost — choose smartly.
Cheapest options:
- Student dormitories (€180–€350/month)
- Wohngemeinschaften (WGs) or shared flats (€250–€450/month)
Avoid private apartments unless absolutely necessary.
💡 Tip: Join Facebook groups or platforms like WG-Gesucht.de or Studierendenwerk early, as cheap options go fast.
🛒 7. Shop Smart: Food & Essentials
Save money by:
- Shopping at budget supermarkets like Aldi, Lidl, Netto, or Penny
- Buying in bulk
- Cooking at home instead of eating out
- Avoiding convenience stores (Rewe To Go, train station shops)
Pro Tip:
University cafeterias (Mensa) offer complete meals for €2–€4. Also, consider food-sharing apps like Too Good To Go for heavily discounted leftover food from restaurants and bakeries.
💡 8. Avoid Hidden & Unnecessary Costs
Students often overlook small expenses that add up fast.
Watch out for:
- ATM fees (use your bank’s ATMs or fee-free networks)
- Mobile data overuse — stick to Wi-Fi when possible
- Unused subscriptions (Netflix, gym, apps)
- Impulse online shopping
💡 Tip: Review your bank statements monthly. Cancel subscriptions you don’t use.
🧠 9. Build an Emergency Fund
Even with good planning, emergencies happen — like medical issues, travel, or urgent laptop repairs. Aim to save at least €300–€500 as a financial cushion.
Put it in a separate savings account and don’t touch it unless it’s truly an emergency.
🎓 10. Apply for Scholarships & Grants
Germany offers many scholarships for international students:
- DAAD Scholarships
- Deutschlandstipendium
- Konrad Adenauer Foundation
- Erasmus+ for EU students
- Scholarships from individual universities
Even a €300–€500/month scholarship can ease pressure on your finances.
💬 11. Learn from Other Students
Join online communities and university forums where students share money-saving hacks. Reddit (r/germany or r/iwantout), Facebook student groups, and Discord servers can be valuable.
Ask senior students:
- How much do you spend monthly?
- Where do you shop?
- Which dorms are best?
- How do you work and study?
🧠 Final Advice: Make Financial Literacy a Habit
Managing money isn’t just about avoiding being broke — it’s a life skill that will help you long after graduation. As a student in Germany, you have the freedom to live independently. But with freedom comes responsibility.
Master your finances early, and you’ll not only survive — you’ll thrive.