5 Essential Finance Tips for College Grads
You’ve worked hard to make it through the past four years, and you’ve finally graduated from college! Making your way into the “real world” doesn’t have to be as daunting as it may seem. Here are a few tips to help you prepare financially for your first year out of college.
How to Prepare Financially for Your First Year Out of College
1. Make a budget
Tell your money where it needs to go by setting goals, making a list of expenses, and keeping track of all incoming and outgoing funds.
2. Avoid debt
As much as you can, strive to stay out of debt. Make use of savings accounts, thrift stores and paying with cash. Save up in advance for large purchases. When you do need a loan, make sure you partner with a trusted institution, like a credit union!
3. Save an emergency fund
It’s generally recommended to save up between 3 and 6 months’ worth of living expenses, in case of an emergency that prevents you from working.
4. Take student loan debt seriously
Take student loan debt seriously. Use your annual tax refund toward student loans if you can, and remember to deduct interest from your taxes!
5. Start saving for retirement
Yes, the best time to begin saving for retirement is in your early 20s – if not sooner! The earlier, the better.
Get started preparing your financial future with Signet Federal Credit Union. We’re here to help with savings accounts, checking accounts, retirement accounts and more, to help set you up for financial success for life!