Recent College Grads! Learn to Manage Your Finances
Life post-graduation can be complicated to navigate. With a completely new lifestyle to adjust to, and an entirely new set of challenges to deal with, most college graduates are likely finding themselves overwhelmed, to say the least. Add in a global pandemic and a high unemployment rate, and post-graduation “success” is made even more difficult.
In these trying times, staying calm and organized is the key to financial survival. Develop a plan for your finances, find a form of income, and keep your cool. While right now may not be the ideal time to begin your career journey, there are still ways to make the best of a tough situation.
#1: Secure a Source of Income
It is easier said than done but finding a source of income after you graduate college is your first step in managing your own finances. When all else fails, pick up a part-time job at a retail store or restaurant to cover your immediate expenses while you spend your free time focusing on your job hunt.
As you search for your ideal job, be sure to use your existing resources. You may find help at your college career counseling services or start utilizing your new alumni network to make connections and find career opportunities.
#2: Devise a Plan for Expense Management
You will need to figure out what your current expenses are and how much money you are making, if any at all. For the most part, student loan providers offer a grace period of about 6 months before you have to start making payments, so this will buy you some time to job hunt. Additionally, take note of the cost of your necessities and how often you must purchase or pay for these things.
Keeping track of your spending can be accomplished with the use of an online banking app that can track purchases and income all in one place. Staying on top of your bank account balance and your regular spending will help you determine where you can cut back and how you can save a little more money during such a volatile time.
#3 Cut Costs Where Possible
Your best bet for saving money and managing your finances post-graduation is to find ways to eliminate unnecessary spending until you have a stable form of income. Typically, 50% of college grads will move back into their parents’ home to help alleviate any extortionate rent costs. During the pandemic, more people are living at home than ever before. Many people, especially recent college grads, are being forced into any low-cost living situation they can find.
Additionally, you need to ensure you do not spend money frivolously while staying at home and hunting for your first job. Take advantage of this time when you have little to no bills to save what money you do have. Concentrate on earning a little something extra from a part-time job and put all your effort into hunting for a great first job.
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