Students face a difficult financial reality. There is often little time available for work, especially during exam periods. Tuition costs are high, and students must also pay for housing, transportation, and the social activities that are often part of student life.
A survey conducted by the National Union of Israeli Students illustrates these financial pressures. According to the survey, 91% of students receive at least NIS 2,000 a year in financial support from their parents. 20% take out loans during their studies, sometimes amounting to tens of thousands of shekels, while 35% continue to live with their parents.
The following tips can help students complete their studies in a stronger financial position.
Benefits That Can Save You Money
Municipal tax discount: Students with a low income may be entitled to a municipal tax discount of up to 80%. Check the eligibility requirements and apply through your local authority. More information is available on the Kol Zchut student municipal tax page (in Hebrew only).
National Insurance payments: National Insurance and health insurance payments for students total NIS 126 per month. If you are being charged a different amount, your academic institution may not have transferred your student status correctly. Contact the National Insurance Institute and present your student card to update your status.
Public transportation: A student profile on your transportation card can significantly reduce transportation costs.
Student discounts: A student card may entitle you to discounts on performances, attractions, cultural events, and other activities. Before making a purchase, check whether a student discount is available.
Student bank accounts: Student accounts are often exempt from current account fees and may include preferential banking terms. If you opened your account before beginning your studies, make sure it is officially classified as a student account.
Reserve duty benefits: Students who serve in the military reserves are eligible to receive academic credits for their service. They may also qualify for benefits through the student association.
Tax credits after graduation: Graduates may be entitled to income tax credit points after completing their studies. You will need to provide confirmation of your eligibility for the degree or professional certificate. You can access the relevant tax form here.
Additional information is available on the Kol Zchut student rights portal (in Hebrew only).
Reduce Your Expenses
Lower your housing costs: Housing is usually the largest expense in a student budget. According to the student survey, the average monthly housing cost was NIS 1,273 per student. Consider student housing, shared apartments, living farther from expensive areas, or remaining with your parents if that arrangement works for everyone. Programs that match students with older adults may also offer more affordable accommodation.
Reconsider owning a car: Buying and maintaining a car can cost thousands of shekels each month. Although having your own car is convenient, a student using public transportation and a bicycle can provide much more affordable alternatives.
Watch small recurring expenses: Buying coffee and food on campus regularly can add up to around NIS 1,000 a month. Bringing food from home and purchasing lower priced coffee from student association stands can make a meaningful difference.
Prepare for major expenses: Set money aside in advance for wedding seasons, summer travel, or other expected costs. Saving a small amount every month is easier than covering the entire expense at once.
Increase Your Income
Look for flexible jobs that allow you to work more during quieter periods and reduce your hours during exams and demanding academic periods.
In the later years of your degree, try to find a student position related to your field. Relevant experience can make it easier to enter the job market after graduation.
Explore scholarship opportunities based on your country of origin, place of residence, academic achievement, volunteering, or research. The National Union of Israeli Students scholarship page (in Hebrew only) is a useful place to begin your search.
Borrow Carefully
If you have no alternative and need a loan during your studies, compare offers from several banks and ask about special terms for students. Most importantly, choose a loan with a monthly repayment you can realistically afford.
Student life may be financially demanding, but using your benefits, managing expenses carefully, increasing your income where possible, and planning ahead can help you complete your studies with greater financial stability.