I'm in the same boat, but I'm a full timer. I still have a part time job though, which allows me to save quite a bit since it pays very well.
I knew I was going to buy a nice designer handbag sometime soon, and go on a holiday with friends so I saved up A LOT, and spent a lot of my free time working. (I was determined).
Right now, I would spend max 2k because that's as much as my budget would allow. 3 months ago I would have said 1.5k. It has a lot to do with the bag too though.
I have a longchamp le pliage, and if one day it costs $1000 I would still think about getting it. That this is nearly indestructible, not to mention very versatile. School bags, nappy bag, casual bag, beach bag, work bag... I've spilt drinks all over it a few times. Barely any marks.
My dream is the classic 2.55 Chanel. I would buy it in a heartbeat if I had the money

maybe ill buyit for myself when I graduate...