Navigating Financial Requirements as an International Student: A Comprehensive Guide

Ozioma Jolayemi | Posted on April 25, 2024 |

Studying abroad is an amazing opportunity to explore new cultures and broaden your academic horizons.

However, getting a study visa can be quite challenging, especially when it comes to meeting the financial requirements.

But don’t worry – we’ve got you covered!

In this comprehensive guide, we’ll take a look at the financial implications of studying in popular destinations like Canada, the USA, the UK, Australia, and other European countries.

Our aim is to help you navigate the complex world of international student finances with ease and confidence. Let’s get started!

1. Application fee

This is an often overlooked expense associated with university applications.

The fees can vary depending on the country and institution.

Canada: CAD 50 to CAD 250 (Some Canadian universities waive application fees)
USA: USD 50-USD 150.
UK: Most institutions do not charge application fees. But the range falls between £20 (around USD 24) for undergraduate programs and £45 (around USD 54) for postgraduate programs.
Australia: AUD 50 to AUD100 (around USD 37 to USD 74).
European Countries: Fees across Europe can be quite diverse. Some countries, like Germany, have minimal or no application fees, while others, like France, might have fees ranging from €50 to €200 (around USD 54 to USD 216).

2. Tuition Fees

One of the primary financial concerns for international students is the cost of tuition fees.

The expenses of tuition can vary significantly depending on the country and the educational institution you choose to attend.

To give you an idea, here’s a breakdown of the average annual tuition fees:

Canada: CAD 7,000 to CAD 35,000 per year
USA: USD 15,000 to USD 50,000 per year
UK: GBP 10,000 to GBP 30,000 per year
Australia: AUD 20,000 to AUD 45,000 per year
Europe: EUR 2,000 to EUR 20,000 per year, depending on the country and institution

Note: Tuition fees vary depending on your course of study, level of education, and institution.

3. Proof of Funds

International students who apply for a visa need to provide proof of funds (POF) in addition to paying tuition fees. This proof shows the embassy or consulate that the student has enough financial resources to cover their expenses during their studies abroad.

Below is a breakdown of the POF requirement for each country.

Canada

Proof of funds required for a study permit: CAD 20,635 per year (excluding tuition fees)
Additional proof of funds required for a spouse/partner: CAD 5,055 per year
Additional proof of funds required for a child: CAD 5,893 per year for each child

USA

Proof of funds required for a student visa (F-1 visa): Varies depending on the institution and location, but typically ranges from USD 15,000 to USD 20,000 per year (excluding tuition fees)

United Kingdom

Inside London: GBP 1,265 per month (for up to 9 months) = GBP 11,385
Outside London: GBP 1,015 per month (for up to 9 months) = GBP 9,135

Australia

Living costs: AUD 21,041 per year
Course fees: Amount of course fees for the first year (as mentioned in the CoE)

Europe (Schengen Area)

Varies depending on the country, but typically ranges from EUR 5,000 to EUR 10,000 per year (excluding tuition fees)

Acceptable Documents:

Bank Statements: These are the most common documents, typically covering the past 3-4 months and showing the required funds readily available.
Financial Aid Documents: Proof of scholarships, grants, or education loans can reduce the amount you need to show in your bank statements.
Sponsor Documents: If someone is financially supporting you, a letter from them along with their bank statements might be required.
Other Acceptable Assets: Some countries might allow documented proof of assets like GICs (Guaranteed Investment Certificates) to fulfill POF requirements.

Check out the comprehensive studying in Canada checklist.

4. Accommodation Costs

Accommodation costs vary depending on the location and type of housing. International students have various housing options:

On-campus housing: University dormitories or residence halls
Off-campus rentals: Apartments or shared housing
Homestays: Living with a local host family

Here’s a breakdown of average monthly accommodation costs:

Canada: CAD 500 to CAD 1,500 per month
USA: USD 500 to USD 2,000 per month
UK: GBP 400 to GBP 1,500 per month
Australia: AUD 400 to AUD 1,500 per month
Europe: EUR 300 to EUR 1,200 per month

5. Health Insurance

International students are typically required to have health insurance while studying abroad.

Health insurance coverage varies depending on the country and the institution.

Many universities offer health insurance plans for international students.
The cost of health insurance varies but is typically between CAD 600 to CAD 1,200 per year in Canada, USD 500 to USD 1,500 per year in the USA, GBP 300 to GBP 800 per year in the UK, AUD 400 to AUD 1,000 per year in Australia, and EUR 300 to EUR 800 per year in Europe.

6. Other Living Expenses

In addition to tuition fees, accommodation, and health insurance, international students should budget for other living expenses, including:

Food: CAD 200 to CAD 400 per month
Transportation: CAD 50 to CAD 150 per month
Textbooks and course materials: CAD 500 to CAD 1,000 per year
Personal expenses: CAD 100 to CAD 300 per month

7. Part-time Work Opportunities

Many countries allow you to work part-time while studying to help cover living expenses. However, there are restrictions on working hours and types of employment.

Here’s what you need to know about part-time work opportunities for international students:

Canada: Up to 20 hours per week during the academic session and full-time during scheduled breaks
USA: Up to 20 hours per week on campus during the academic session
UK: Up to 20 hours per week during the academic session
Australia: Up to 20 hours per week during the academic session
Europe: Varies depending on the country

8. Scholarship Opportunities

You may qualify for scholarships, grants, or financial aid to cover tuition fees and living expenses.

Check out the following scholarship opportunities for international students: merit-based, need-based, government, and institution-specific scholarships.

9. Financial Aid and Loans

International students can receive financial aid or student loans to assist them with the cost of studying overseas.

However, the availability and type of financial aid options differ based on the country and educational institution. Additionally, student loans may be an option for international students, provided they have a cosigner or collateral.

10. Currency Exchange and Banking

International students who are studying abroad should keep in mind the importance of currency exchange rates and banking options to manage their finances effectively.

Here are a few tips that can help you manage your finances easily while studying abroad:

Open a local bank account to avoid currency conversion fees.
Use online banking services for convenience and easy access.
Keep a close eye on currency exchange rates to ensure that you get the best value for your money.

Studying abroad is an exciting opportunity, but it can also come with its challenges, especially when it comes to finances.

Don’t worry though, with proper planning and preparation, you can achieve your dream of studying in Canada, the USA, the UK, Australia, or Europe!

We are rooting for you, and we wish you good luck on your international student journey!