Personal financial advice needed by all college graduates

For many years you have lived on a college budget, I’ve never thought of the term “401”, looking for food as much as possible, buying gas for each trip.(K).“ Receiving that first salary from your employer will feel like more money than you know what to do. But bMake sure you have your long time before you start fancy about luxury cars and beach vacationsContinue to appoint ducks with these 10 financial tips.

Know your value through payroll negotiations

Negotiating the first salary is difficult, But you are not without leverage. Use resources at your disposal. University career center, etc. Recent college graduates in your industry, To assess whether the offer you have made is of sufficient market value. If not, you certainly don’t have to take the first offer that comes in.

Be realistic about moving

After four years of freedom, you’re probably not kidding to return with your parents.But if this is an option, especially if you are in it, it’s worth considering Things that have important things debt. Saving monthly rent payments saves money, Repay more loans Impressive speed. over it, I want nest eggs before I get a loan..

Match your company’s 401 (k) contribution

When you get a job, you will have to decide what percentage of your salary you want to contribute to you 401(K) Retirement plan.. Your employer is most likely to suggest matching the amount you are contributing up to a certain percentage. I want to make sure that I donate at least that amount.Contribute if they offer up to 3% At least 3%. Doing other things will leave money on the table, and the profits of that money will become quite complicated over time to prepare you for retirement.

Open RothIRA

I know all these terms sound scary and confusing, but they aren’t. Loss IRA An account that can donate up to $ 6,000 a year investment You don’t have to pay taxes on your profits when you retire. PPay full $ 6,000 each year if possibleAnd low risk and long investmentTerm investment.

Due diligence on health insurance

Stay with your parents if it’s an option for you Health insurance as much as possible.If not, really consider Which of the plans your employer offers is right for you. For example, if you don’t expect to need a low deduction, you may not need the most expensive option. And if you don’t know what that means, It’s a good idea to start here.

Create a credit score

Ideally, your credit score is important because you’re buying where you need to get a loan someday. Building good credit is not difficult, it can take just a little longer. You can build your credit score By paying on time at the lower limit Secure credit card, utility bill payments and even rent reporting (if you have rent payments)). Start early, I thank myself later.

Create a budget

It’s scary at first, but it’s important to know how much money you’re spending and what you’re spending.Many people like 50/30/20 rule: SHold 50% on your needs (Rent, groceries, And minimum loan payment)Spend 30% on splash (Travel, takeaway, And concert ticket)And spend 20% on saving high-interest debt and making additional payments.

Understand your student loan

one time youe Graduation, you usually have 6-The grace period of the month before you need to start repayment of those student loans. Sit down to figure out if you have a federal loan or a private loan, compare interest rates, and make an action plan to repay these most effectively.

Buy a car

Unfortunately, Due to inflation, Now is not a great opportunity to buy a new or used car. If you think you can get through without it, it may be the right call. But keep in mind that if owning a car isn’t negotiable, you need to take into account the recurring bid information of your budget. Car insurance, gas, frequent vehicle maintenance, etc.

Allocate some money for fun

Saving money is great, and IImportant for your future. However, it is important to include a little “fun money” in your budget.Find a small way to splurge on purchase Those concert tickets, or go To that trendy restaurant—Don’t borrow more to do that.