Ways To Save Money After You Graduate College
So, you emerge into the world, clutching your college degree, hopes and dreams, and a bucket load of student loans. While life is about to get exciting, it's also about to get expensive.
Whether you want to travel the world or buy a house, you're going to have to learn to budget.
Be Realistic About Where You Want To Live
See yourself in an open-plan loft apartment but your budget says otherwise? We all want a great place to live, but you need to be realistic with your expectations. Research all potential areas to live first, especially if you're not from around that area. Find some forums too, they will be able to give you honest answers about what it is like to live there.
Get A Roommate
The cost of living is high, going it alone financially isn't viable in a lot of cities, where rents are high and salaries haven't kept up with them.
Finding a room mate who compliments your way of living can be a good compromise. You'll have someone to split the bills with, and if you choose well, their personlisty will match yours, so you won't be stuck with someone who wants to party 24/7 while you're much more of a homebody.
Consolidate Any Debts You Have
Borrowing can be expensive, if you have any credit cards or loans, the repayments and interest can really eat into your budget.
Credit cards balances can be moved to an interest free card or you can look to refinance medical school loans to reduce payment amounts. Before you take out any additional credit, make sure that it's right for you. Refinancing can reduce your monthly payments but could potentially extend the length of time you'll be paying it off.
Find A Second Job Or Side Hustle
If you've landed a good, full time job on graduation, then that's fantastic. Many graduates find themselves taking on other jobs while they are searching for that position that is going to kickstart their career.
Having more than one source of income is a good idea. You could take on a second job or develop a side hustle to bring in a few extra dollars every month. You never know, you might find something that becomes your passion.
Get Into The Habit Of Saving
According to Statista, 70% of Americans have less than $1000 saved. People just aren't good at saving for the future. Sometimes this is because you simply don't have the money to save, but for others, it's the lack of control over their spending.
Make saving a part of your life from the minute you get your first job. Ideally, you want to save 15% of your income every month. This may not be possible when you're just starting out, so even if you transfer a few dollars to your savings account every month, then this will build up over time. Eventually, you'll be in a position to save more.
Don't let lack of money stand in your way when you graduate. By getting into good habits early in your twenties, they will benefit you for the rest of your life.