As seniors prepare for graduation and moving out on their own, the experts at Evolve Bank & Trust are sharing saving tips for graduates.
While it can be tempting to spend every penny of the money gifted to you for graduation, we suggest you save a percentage, if not all of it. As you are starting out, this cash is a prime way to jumpstart your savings. Sure, it makes sense to treat yourself, however, don’t underestimate the advantage this savings can be. Whether you’re going to college or starting a job, starting out a savings safety net for emergencies is a huge benefit.
No matter what you’re doing next in life, it is important to start budgeting. Whether your income is from a job, tuition, or a monthly allowance from your parents you need to plan how you’re spending it. If you’re living on your own for the first time, budgeting is key making your money last.
Before applying for a credit card, do your research. Many credit cards advertised to college students have high interest rates and penalty fees for late payments. Don’t accumulate credit card debt simply because you didn’t research the rates and terms.
Avoid Impulse Purchases
Being in charge of your own finances can be overwhelming. However, it’s important to avoid letting the freedom change your habits. If your parents have taught you to save and be careful with spending, you have to remember those lessons. Don’t buy a coffee in the student center three times a day. Instead ask your parents to invest in a Keurig in your dorm. Be responsible and only spend where necessary.
Remember these lessons and those your parents have taught you. If you’re ever in doubt, always ask your parents for advice.