Do you manage to make ends meet every month?

The financial transition to adulthood isn't smooth for everyone. According to a survey conducted last December, 81 per cent of young people in the Netherlands experience financial stress and 64 per cent struggle to make ends meet each month.

The figures are hardly surprising when one considers all the financial responsibilities that come into play once the teenage years are over. Health insurance, a mobile phone contract and costs such as rent, groceries and membership fees quickly add up. Finances remain a vulnerable area for students, even now that the basic student grant has been reinstated (this is a government benefit that Dutch students and certain European students are eligible for. It was scrapped between 2015 and 2023, Ed.). So, what exactly does it mean to manage money responsibly?

Karin Radstaak, spokesperson for the National Institute for Budget Information (Nibud), knows the answer. “Quite simply, it’s when your income and expenditure are in balance. An important part of this is also looking ahead. So, it’s not just your weekly income and expenditure that need to be in balance, but also those of next week, next month and even next year.”

According to Dutch law, Parents are financially responsible for their children until they turn 21. Parents of people enrolled in higher education institutions should contribute to their upkeep at least until that age. Students can work alongside their studies and, if necessary, take out loans. The government also contributes to this phase, mainly through the basic student grant and a supplementary grant available to students from low-income families. All in all, the greatest responsibility lies with the students themselves, which is why Nibud also emphasises the importance of financial education.

According to Radstaak, financial education starts with an open conversation, without judgment or taboos. Four students from Utrecht are willing to share their finances with DUB and give us insight into their financial "norm". How do they make ends meet every month?

Bruno: “I had to do my groceries using loyalty stamps”

For the past six months, Bruno Stoet, a fourth-year Artificial Intelligence student, has been tracking all his finances weekly using the Dyme app. He has a monthly budget of 1,288 euros.

He works once a week, receives the basic student grant for students not living with their parents (324.52 euros a month) and a supplementary grant of 200 euros every month. Last but not least, he gets another 200 a month from his parents. 

This is all the money he has to pay his rent, do his groceries, cover his student association fees, and go out. His health insurance and health insurance allowance (another benefit from the Dutch government) roughly cancel each other out.

He is trying to save 100 euros a month to build up a buffer. After all, no matter how proud he is of not being in the red at the end of the month now, this hasn’t always been the case. “There was a time when I used loyalty stamps to do my groceries because I’d run out of money,” he says. “I wasn’t paying any attention to what I was spending at all. I’d received a substantial inheritance from my grandmother, which I basically spent on things that were unnecessary in hindsight. I once paid my then girlfriend the money she would have earned at work, so that she would call in sick and spend more time with me.”

When the money ran out, he borrowed from DUO for two months to make ends meet, even though his parents strongly discouraged this. These days, he knows better than that and earns a living making pancakes at Theehuis Rhijnauwen.

Borrowing from DUO is a nuanced matter, says Radstaad, from Nibud. “DUO is a different kind of loan, because the conditions are more moderate and it is an investment in your future.”

Sanne*: “My parents taught me to live frugally”

With her basic student grant, 500 euros from her parents and three shifts a month, Sanne, a third-year Education student, easily makes ends meet. “Rent is the most expensive thing: it’s nearly 500 euros. Other than that, I don’t really spend much: just 150 euros on groceries, 50 on public transport and 50 on Orca, my rowing club.”

That doesn’t sound like much for groceries. She walks to the kitchen and opens the fridge, showing what she has in the pantry. “Look, basically just eggs, bread and milk. Apart from that, I eat for free at my parents’ or with friends, which also helps because you share the costs.”

Sanne doesn’t pay much attention to money, but that’s mainly because she doesn’t spend very much. She rarely buys new clothes, things for her room or goes on holidays. “Actually, I really should keep better track of what’s coming in and out,” she says. “But, so far, I’ve always managed to make ends meet by the end of the month. My parents taught me to live frugally. My mum would always say that splitting the bill should be the norm, so everything is fair among groups of friends.”

Still, she’d prefer to work more and have a bit more in her savings account, but that’s impossible right now. She is serving on a student organisation board, plays in a band and is a soloist in the National Youth Choir. Sanne: “Next year, I’m going to follow a course at a university of applied sciences, and I’ll be less involved with my student association. I hope to have a bit more time to work then, so I can start saving for my driving licence. Besides,, in a year and a half, I won’t be getting a basic grant anymore, so I need to build up a buffer for that as well.”

Derek: “Whenever I don’t have enough money, I just borrow a bit extra from DUO the following month”

It took some time for Derek, a third-year psychology student, to adjust when his basic grant ran out last year. He had to reassess his finances after moving house and seeing his rent rise significantly. Working eight times a month and currently taking out a 400-euro loan each month, this is how he covers his monthly expenses: 550 euros in rent, around 100 euros on groceries, and 150 euros on other costs. “If I can’t make ends meet, I'll borrow a bit extra from DUO the following month.”

He used to regularly ask his parents for extra money. “At a certain point, that was happening a bit too often. My mum said I’d be better off borrowing, partly so I’d learn to manage my money better. Now, I often adjust the amount of my loan so I don’t get into trouble. If I’ve just had to pay for a holiday or have other unforeseen costs, I borrow a bit more. Ideally, I’d work an extra day a month, but that doesn’t always work out with my studies or the hours available at work.”

Nibud points out that students should not borrow indiscriminately when they can obtain money in other ways, such as getting a job. Radstaak: “At the same time, you don’t want to get into financial difficulties now, and most people will be able to repay the money easily later on.”

That is exactly what Derek plans to do. He would rather borrow a little now and then than pay it back once he gets a job after his studies. “I don’t like getting ‘free’ money and would rather stand on my own feet. Friends of mine often get money from their parents and can go on holiday with it. Fortunately, I can easily put that into perspective, and I’m not the sort of person who would borrow a lot just to be able to go on holiday too.”

Friso*: “It’s hard to work out how much you need to save”

Friso, a second-year Psychology student, sees his income and expenditure as a huge pile and doesn’t keep track of how much money he spends on what. Most of his money goes to food, going out, and subscriptions, such as his Cineville pass, as well as a donation to Médecins Sans Frontières. His income consists of the basic grant for students not living with their parents, a contribution of 400 euros from his parents and a salary of around 500 euros a month. Friso works in the hospitality industry and tries to save his cash tips as a nest egg for the summer. He manages to make ends meet every month and even saves a little.

“Sometimes I have to borrow from myself a bit at the end of the month, for example, when my salary comes in a few days later,” he explains. “I pay that back to myself later.” Friso notices that many of his friends struggle a bit more to make ends meet each month. They have to watch their money more closely and receive less financial support from their parents.

But he has also learnt many financial skills from his parents. “My grandfather was a civil servant and dealt with money in his job; I think he passed on his insights to the family. For instance, my parents recently told me I should save more. They didn’t think the 1,000 euros in my savings account was a good buffer, so now I’m trying to save 200 euros a month. I find it quite difficult to estimate how much you actually need to save as a student.”

Friso isn’t the only one who feels that way. Radstaak, from Nibud, advises saving 10 per cent of your income each month. “On average, this is the amount you’ll need annually as a buffer. You can use this for a broken microwave, festival tickets or a new phone.” However, she points out that this varies from person to person, especially for students. “Students often share facilities, such as a washing machine, with housemates. That’s why it’s better to work out for yourself what your unexpected costs might be, so you can determine how much you should be saving.”

*The names Sanne and Friso are pseudonyms. They didn't feel comfortable disclosing their finances openly, using their real names. DUB's editorial team knows their real names.