Pen with receipt and calculator

Funding and money advice

Money advice

Take control of your money

We understand that managing your money can be tricky while you are studying. We are here to offer advice and support on any issues you may have with your finances.

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How much can it cost a student to live in London?

Students sitting on steps of UWL building - St mary's road SMR campus

Living in London can be very expensive, and the cost can vary hugely depending on where you choose to live, where you shop, and how often you go out. As a student, you’ll need to be on top of your finances every month in order to avoid overspending. It is essential to try and save money where possible and stick to a budget, and it is key to know a lot about what you tend to spend most of your money on, and the things that you can’t get by without vs the things that are luxuries, or nice to have, but not essential.

In addition to regular weekly and monthly costs for living expenses such as groceries and rent, it's also important to consider any one-off expense when calculating your budget. This could include deposits for accommodation, or domestic items such as bedding, furniture, or kitchen utensils.

Understanding a payslip

Professional researching on laptop

A payslip is a document issued to you from your employer which calculates your gross pay, your deductions, and your net pay. Your payslip is usually given to you electronically or in your employee account on or before your payday which can either be weekly, fortnightly or monthly. Employers are obligated to provide a payslip to their employees. There is a lot of information on a payslip, and it can look different depending on the layout from your employer. Nevertheless, you need to ensure that your payslip must show the important details. 

Generally, the information on a payslip can be broken down into three sections: 

  • Personal and General Information 

  • Earnings  

  • Deductions and Contributions 

Personal and general information on your payslip includes your full name, home address, payroll or employee number, your tax code, national insurance number, pay date, pay method and summary to date.

  • Earnings

    Your total earnings are itemised and calculated in different categories such as:

    • Basic pay – your salary as it is written and agreed on your contract  

    • Overtime – employers sometimes pay an extra amount for working over your contracted hours. 

    • Bonus and Commission – an extra amount on top of your salary which can be based on your good performance in your job 

    • Sick pay – this may replace your usual pay if you fall sick or ill and unable to work due to health conditions.  

  • Deductions and contributions

    These are amounts taken off your income before your net pay. Listed below are sample of deductions that can be on your payslip:

    • Income Tax (PAYE) – the amount deducted depends on your tax code 

    • National Insurance Contribution – this is another kind of tax which will help you qualify access certain benefits and state pension 

    • Pension contribution – some employees give up part of their salary to be paid into a workplace pension and contributions from your employer may also be shown. This is optional and you can choose to opt out of the scheme. 

    • Student loan payments - if you’re repaying your student loan (find out more via the government website), your employer will take the money directly out of your salary to give to the Student Loans Company.

    In summary, gross pay is your salary before deductions whereas Net pay is your income after deductions, and it will be the amount that’s going to be paid to you.

  • Keep it safe

    A payslip is an essential document because it contains a lot of personal information about you and your income, therefore it is vital that you keep them secure to avoid being used for identity fraud. Moreover, you will need evidence of your income if you decide to apply or any financial product as they will require your proof of employment.

Understanding National Insurance and tax

A mix of £20 and £5 notes

What is National Insurance?

You have a National Insurance number to make sure your National Insurance contributions and tax are recorded against your name only. It’s made up of letters and numbers and never changes. You pay National Insurance contributions to qualify for certain benefits and the State Pension. Benefits include Contribution-based Jobseeker’s Allowance, Contribution-based Employment and Support Allowance, Maternity Allowance, etc.

A hand clasping a pen, resting on a business document

What is tax?

Income Tax is a tax you pay on your income. Income Tax is collected by HMRC (Her Majesty's Revenue and Customs) on behalf of the government. It's used to help provide funding for public services. For example, the NHS, education, and the welfare system, as well as investment in public projects, such as roads, rail, and housing.​ You do not have to pay tax on all types of income.  

Check the government website for further information on tax-free allowance.​ Personal Allowance refers to the amount of income you do not have to pay tax on, and this can change from year to year.

Three female students walking on campus

Tax for international students in the UK

If you are an international student, please refer to the government website to find out more about tax on foreign income and the circumstances when you might or might not need to pay tax on any income you earn overseas, or on income, you might earn while working in the UK as a student.

It is worth checking whether there is a “double taxation agreement” covering students between your home country and the UK. We would also advise you to check with the relevant government department for your home country's tax authorities, as they might expect you to file a tax return there, or to pay tax on your UK earnings.

Savings accounts and investing

Coins in a glass jar pouring out

Saving money in a bank account

There are several types of student savings accounts available in the UK, including:

  • Regular savings accounts: These are standard savings accounts that offer a low-interest rate and easy access to your money. 

  • Cash ISAs: An individual savings account known as a cash ISA allows you to save up to a set amount annually without having to pay taxes on the interest that is earned. 

  • Student current accounts: A lot of banks provide current accounts for students that come with an overdraft facility and other advantages, like an interest-free overdraft for a specific amount of time. 

  • Joint accounts: Compared to standard savings accounts, joint accounts can provide better interest rates and let you save money with friends or family.

Choosing a student bank account

UWL can’t recommend a particular bank or bank account to students; however, you may find it useful to consult Save the Student’s helpful student bank account comparison guide to help you decide on who to bank with – especially if you’re new to the UK.

Small plant growing out of money coins

Investing wisely

Anyone who is thinking about investing in the cryptocurrency and stock markets has to be aware of the risks involved. The following are some significant concerns to be aware of:

  • Volatility: Stocks and cryptocurrencies both have a high level of volatility and are prone to sudden, dramatic price changes. This implies that the value of your investment may increase or decrease quickly, which could cause substantial losses if you are not prepared.
  • Market risks: Investor mood and market forces, which may change quickly and without warning are a major driving force behind the cryptocurrency and stock markets. As a result, there is always a chance that the state of the market could abruptly shift and harm your investment.
  • Regulatory risks: The regulatory landscape for stocks and cryptocurrencies is always changing, and new rules and regulations may be passed that could have an impact on the value of your investment.
  • Technology risks: Because cryptocurrencies and stocks rely on intricate technological networks and systems, there is always a chance that there will be security flaws or technological breakdowns that can lead to the loss of money.

Before engaging in cryptocurrency or stock trading, it's vital to be completely informed of these risks. If you have any questions, you should seek external professional banking advice. It's also crucial to make sure that if you choose to invest, you maintain a diverse financial portfolio and avoid investing more money than you can afford to lose.

Frequently asked questions

  • How do I create a budget? What are some tips for money management?

    How do I start taking control of my money?

    By taking some time to review your finances you can stay on top of bills and save money. Even if you feel as though you're not in a good financial position, there are things you can do to create a better situation for yourself.

    Here are ways to get started:

    • Make a financial budget plan – see more info below.
    • Make sure you’re paying the best prices for items and see if you’re able to get any discounts as a student.
    • Cut back on unnecessary expenses when you can
    • Manage your debts – it’s important to talk to any creditors to explain your debt and try to negotiate a payment plan based on what you can afford. Seek advice from StepChange and Citizens Advice for more support around this.
    • Find out if there are any scholarships, bursaries, or financial support funds – both within the university, and from external charities and organisations. Turn2us has an online search tool for grants that do not need to be paid back.

    How do I make a budget?

    A budget is a financial plan you write down to decide how you will spend your money. It lists of all the money you receive and all the things you spend money on. By tracking expenses and following a plan you can and take control of your finances. Save the Student has a great budget spreadsheet you can download to help you get started.

    • Step 1: Set Goals - Decide what your biggest money requirements are right now.
    • Step 2: List all your income. Step 3: List monthly expenses - Work out your bills and due dates.
    • Step 4: Select Must-Spend Items.
    • Step 5: List Flexible Expenses.
    • Step 6: Set a spending limit – be realistic and accurate about what you spend
    • Step 7: Adjust your spending to stay on budget.
    • Step 8: Review your budget regularly.

  • How can I get advice about benefits?

    Studying may affect your eligibility for, and entitlement to, state benefits, particularly if you study on a full-time course. Several types of benefit may be affected.

    Even if you are still eligible to claim benefits, entitlement to certain elements of student funding may still reduce the amount of you or your partner’s benefits. You must inform the relevant authorities about becoming a full-time student and being entitled to student funding.

    We can help with advice about how being a student may affect you benefits. Ask one of our Student Advisers about your benefits as early as possible.

    Contact us

  • Am I eligible for a Childcare Grant?

    If you have children under the age of 15, and are studying a full-time undergraduate or postgraduate course, with a Student Loan, you may be eligible for a Childcare Grant, to cover up to 85% of your childcare costs.

    For more information visit the .Gov website.

  • Am I eligible for a student Council Tax discount?

    In most cases, if you study on a full-time course, the Confirmation of Student Status letter can be used to get a discount or exemption from your Council Tax. You will need to submit this letter to your Local Authority. The Confirmation of Student Status letter can be obtained from your School Administration Centre.

    Contact us

  • What is Disabled Students Allowance (DSA)?

    The Disabled Student Allowance (DSA) is a non means-tested grant available to UK students enrolled on Higher Education courses. It can be used to cover some of the extra costs incurred as a direct result of a disability, mental health condition or specific learning difficulty.

    For more information visit the Gov.uk website

    If you receive an NHS Bursary visit the NHS Business Services Authority website.

    Our disability advisers can provide you with advice and information about DSA,

    Contact us:

    • 020 8231 2739
    • disability@uwl.ac.uk

  • How can I get funding support for my undergraduate studies?

    There are loans available to cover tuition fees and contribute to living costs for undergraduate students. Find out more about the loans available.

    We offer a range of undergraduate bursaries and scholarships. Find out whether you would eligible and how to apply. For any advice about bursaries and scholarships please contact bursaries@uwl.ac.uk.

    Please contact studentadvice@uwl.ac.uk or 020 8231 2591 for help and advice on eligibility and applying for loan(s) from the Student Loan Company (either Student Finance England, Wales, Northern Ireland or Student Award Agency for Scotland).

     

  • How can I get funding support for my postgraduate studies?

    There is a Postgraduate Master’s loan available from Student Finance England that will help towards tuition fees that students will need to pay to UWL and may contribute to some living costs.

    Please note that the Postgraduate Master’s loan will not be enough to cover both tuition fees and living costs, and so students will need to make adequate financial provision to ensure their living costs are fully covered whilst studying a postgraduate degree. For example, students may need to work part-time during their studies or ensure that they have savings to cover their living costs during their studies.

    The university offers a range of postgraduate bursaries and scholarships in advance of the start of each academic year, and your eligibility will be dependent on the course that you will be studying. Find out more by visiting the scholarships and bursaries page. For any further advice about postgraduate departmental bursaries and scholarships, please contact alumni@uwl.ac.uk.

  • How can I apply for discounted travel with a Student Oyster Card?

    Full-time students can apply for a student Oyster card which offers reduced-rate travel in and around London.

    Ask at the UWL Students’ Union, or visit the Transport for London website to apply for your Student Oyster card.

    • Make sure that you have completed your enrolment with the University prior to making your application. 
    • Visit the Student Oyster card login page once you've completed your application.

     

  • How can I get student discounts?

    As a student you are eligible for a range of discounts through the TOTUM card - the  new name for the NUS Extra Card.

    To find out how to apply for your card visit the NUS website.

  • How can I get a job to help with my study costs?

    We are able to help you find part-time work on campus and locally. Working part-time means that you can earn some extra money while you study and gain valuable skills and experience.

    Find out more on our jobs advice page.

    Contact us to find out more:

Contact us

If you have any questions or need support please contact the Student Services helpdesk by phone or email in the first instance:

The Student Hub is the one-stop place where you can access all of our Student Services support online, 24/7, via laptop or mobile device.

Visit studenthub.uwl.ac.uk to take control and get the support you deserve.