The summer after college can be daunting when it comes to personal money. As the graduation rush begins to fade, reality sets in. Newfound financial independence means freedom, but it also means responsibility, not to mention uncertainty.you are in finance It’s somewhere between having a checking account and having a 401(k). Some of your friends may be starting new jobs with six-figure salaries, while others may be backpacking on a tight budget. So what’s the next destination on your financial journey?
To help make sense of this stressful yet hopeful time, let’s take a look at three key steps new college graduates can take now.
Create a student loan repayment plan
Since you just graduated, you may have a six-month grace period before you start paying off your student loans. Sit down, figure out how much federal and private loans you have, compare interest rates, and develop an action plan on how to best pay these off.
Take the next step now Create a repayment plan. To check loan amounts and providers, please visit: StudentAid.gov. (Note: this is no After logging in, in the drop-down menu under your name[My Aid]Choose. Your loan servicer should appear in that section. Click Loan Breakdown to see a list of loans received, including loans paid off and loans combined into new loans.
And if you (understandably)) “Fuck it”, but this is What Happens If You Never Pay Your Student Loans?.
create an emergency fund
Savings should be a priority, even if student loans are on your mind. Maybe she just doesn’t have a stable job with her 401(k) yet. In the meantime, the focus should be on building an emergency fund.
A summary of what exactly an “emergency fund” is, as opposed to other means of saving: An emergency fund is an unplanned emergency, such as unemployment, a medical emergency, or a sudden emergency in your car or home. A cash reserve set aside for expenses and financial hardship.Repair.
How much should we aim to save? previously advisedA general rule of thumb is to set aside six months’ worth of living expenses in an emergency fund. This includes housing, food, utilities, insurance, transportation, and debt payments. Non-essential expenses such as vacations, entertainment, and dining out are not included in the “emergency” calculation.
If you haven’t already, make a list of all the things you spend money on and consider which non-essential expenses you can put into your emergency fund.
A good credit history can make it easier to rent an apartment for the first time, earn better interest rates, and save you thousands of dollars throughout your life.
if i had student credit card During college, contact your card provider and tell them you are no longer a student. We may allow continued use of the same card or offer an upgrade.
If you graduated college without a credit card, open the basics as soon as possible. Remember that your goals are to: take out a little debt to build up your credit history, Never spend money that you cannot repay at the end of the month. read the basics of raise a low credit score, keep highflat Build credit without a credit card.
For more information, please check This GUIOn personal finance for recent college graduates.