Financial Planning Checklist For College Graduates
Just graduated college and not sure what to do next? Want to set yourself up for financial success, but not quite sure how to get started? Well, you’ve come to the right place! We recently published a Financial Checklist for Recent College Grads that will walk you through important and easy financial steps to take as you embark on the next chapter of your life. You can download the checklist here.
- GET ORGANIZED & DEVELOP A BUDGET
Using wants vs. needs along with the bucket strategy, you can build out your priorities and create a budget that works for you. The bucket strategy is when you create different buckets based on priority, importance, time needed to save, and money needed to save and distribute your money to each bucket in order to reach your goals.
- BUILD AN EMERGENCY FUND WITHIN A HIGH-YIELDS SAVINGS ACCT
You’ve had a few summer jobs & have a few dollars saved up. Open a high-yields savings account with the highest interest rates that will earn you the most money on your dollars and continue to save! Click here for CNBC Select’s top HYS accounts. Starting early and saving the most you can while you are young is extremely important and will help you the most in the long-run.
- OPEN A LINE OF CREDIT & BUILD YOUR CREDIT SCORE
Once you graduate college, you should take on a source of debt by getting your own credit card and building your credit. But, make sure you pay your bills in full & on time! PS: Don’t forget about those college Verizon cable bills! Check out our podcast with KC Cole to get some tips on how to better and build up your credit score.
- CONTRIBUTE TO RETIREMENT ACCT
Contribute to a Roth IRA & opt-in to your company 401(k) if offered as it’s a great way to save for retirement with tax benefits. Always take advantage of the company employer match! If you take a look at the JPMorgan chart below, you can see the benefits of saving earlier rather than later.
- AUTOMATE YOUR FINANCES
You are the kings of social media! Take your finances online too. Reach out to us to get access to our financial client portal/app that allows you to track all your data in one place, and on your i-phone! Email us at info@shermanwealth.com if you would like a complimentary trial.
- ASK ABOUT YOUR WORKPLACE BENEFITS & PERKS
When starting a new job, it’s always important to take advantage of all that your company offers, in regards to retirement accounts, health benefits, and more. Talk to HR to make sure you understand the full scope of your company benefits.
- INVEST IN YOUR FUTURE!
Whether it’s learning about and investing in the stock market or saving for graduate/medical school, invest in yourself & be smart about achieving your goals.
While these are only a few of the financial moves you should make when graduating from college and prepping for the next few years of your career, there are many more things to consider and ways to make yourself financially fit. If you would like to learn other easy ways to set yourself up for financial success, reach out to us at info@shermanwealth.com or sign up for a complimentary college grad prep session here.