Start managing you're finances before you're in over your head

Personal savings are the key to financial prosperity. Had we been saving all these years, we would not be in our current economic state. People made bad decisions with money by spending beyond their means. Banks made egregious choices with other people's wealth by encouraging them to live above their standards.

In economics, there is an accounting identity, where savings equals investment. The money available at your disposable serves as an asset to future investment. Spendthrifts may not be able to afford that new television set or PS3. By constantly spending, you will not be able to create much wealth because you will not have the necessary capital to produce innovative ideas in your head. You will find yourself living from paycheck to paycheck.

The best way to make money is to make the money work for you. Invest in yourself. Open a CD at your bank so you can start saving for the future. Spend on automation or technology that can increase your productivity or networking ability. Take classes in web design, finance or the sciences to stimulate your mind.

Use www.mint.com to track all your credit/debit card purchases. At the site, set a budget for various categories: food, leisure and groceries. This is a good way to track spending. Start practicing now, so you will be better prepared when living on your own in the future.

There are great ways to invest and make money at the same time: become a note-taker. Most classes at Syracuse University ask a student to submit notes on a weekly basis for students with disabilities. This practice forces you to pay close attention to lecture material. The only time commitment is making the walk to the Office of Disability Services to drop off your notes (I was actually fired from my only note-taking position because of terrible handwriting).

Seek positions around campus. Share your knowledge and wisdom by becoming a tutor. Try to find something in marketing. Regardless what you end up doing in life, sales is the backbone of any business. Life is a sales call.

Students typically receive financial aid package prior to their first year. If you are a sophomore or junior, you should contact the Office of Financial Aid to revisit your package. Circumstances have changed for many families over the past year.

"The financial aid office is always open to reevaluating your package," Farnoosh Torabi, the Contributing Personal Finance Editor at Seventeen magazine, said. "Schools have set aside emergency money in this recession, anticipating that parents will be contacting them at some point during the school year."

SU has gained national recognition this year for its financial aid services. It is fitting that Vice President Joe Biden, Treasury Secretary Timothy Geithner and Secretary of Education Arne Duncan will be on campus this morning to discuss college affordability.

Even if you have a solid financial aid package with scholarship money, the most expensive cost in college is tuition. Take school seriously. Major in a subject that motivates you to get up every morning. The worst thing you can do is study an area you detest because you will end up skipping classes and cramming for exams.

"Only 40 percent of students, nationwide, graduate in four years," Torabi said.

You do not want to stay an extra year to finish school because of poor academic standing. That money could be saved - and invested - elsewhere.

Naresh Vissa, a junior, majors in accounting, broadcast journalism, and finance. His column appears weekly and he can be reached at nvrammoh@syr.edu.