Attention soon-to-be college graduates! Enjoy the parties. Post-college will entail a lot of financial sobering-up.
Suddenly it will feel like everyone wants you to pay them. Here are three smart things to do to make sure you pay #1 first and build yourself a solid financial future.
1. Make your savings automatic. Use your online skills to set up automatic drafts from checking into long-term savings. Take it from all of us who didn’t do it. You’ll thank us!
2. Go card-free. Now is the time to build your first “real world” budget. The fastest way to do this is to use cash for all your expenses for a month. This will show you exactly where your money is going. If there’s not enough to go around now is the time to make lifestyle adjustments. You can also use Geezeo’s spending target tools. (Click here to join Geezeo.)
3. Contribute to your 401(k) — even if you have student loan debt. If you’re lucky enough to have a 401(k) associated with your first job make sure to take advantage of it! The money you contribute now will have a longer time to grow. Therefore, it’s the most powerful. If you don’t have a 401(k) option now is a good time to open an IRA. (You can do both!).
Happy graduation!
Related:
Graduation…celebration or another expense??
Graduating and entering “Adult World†— how to manage it
Are college tests testing your wallet?
