Celebrated your graduation day? Recently! Graduating from university is a massive step in your
life that will help you to construct a flourishing and a successful career. But this new chapter in
your life comes with challenges of its own. For fresh graduates, finances are a big deal, and
how you can manage it makes all the difference. If you are smart, all your plans will run
smoothly without any hiccups, and you will be in a great position to follow your feasible
dreams, and to achieve your goals with ease. Spinning it, managing finances aren’t your region
of expertise. Then, below are 7 tips which will assist you become a savvier financier-
Slash your spending into half
Cut down on spending wherever you can- right from skipping laundry days to reduce your
caffeine intake (coffee cups). There are plenty of realistic steps you can pursue to trim down
Here are some of them-
Move back to your parent house, yes it’s not the most appealing tip. At this stage of your life,
most of us want some level of freedom and privacy, even though, moving in with your parents
is critical to cut down on housing costs, which can make a massive difference to your monthly
savings. As the money saved on EMI’s or house rent will eventually add to your saving amount,
and you can also get out of previous your debts (student loan) which you might have racked up
during your college days.
Avoid going out for dinner or takeout with friends too frequently. You should still allow yourself
to coddle your taste buds with some palatable treats within your resources.
If you don’t wish to give up your social life too much, consider skipping drinks and night outs
from the time to time. You always don’t need alcohol to have fun with your buddies, right?
Reducing your debts
Reducing your debts is directly proportional to cash in your bank account. In simple words,
meaning you need to spend less month from your earnings ever month for paying off the debt
installments. So, start saving now for some good outcomes in the future such as owning a
house and a happy retirement.
Pay off your credit card bills; get out of this habit of buying everything with your credit card. It is
by no means a misdemeanor to carry them in your wallet, but it is good to shop with your
currency notes whenever and wherever possible.
Try not to spend more than 25 to 30% of your credit limit.
Check your credit score once a month.
Start investing money
It’s never too early to start thinking about your future, invest money for a better tomorrow.
Don’t take it as any other option of saving money; consider it a way to earn money along with
your regular wage. After all, the cash you going to make from your investments will ultimately
go in your bank account.
Invest money in the stock market or mutual funds; remember starting early means plenty of
time to make your money grow. Don’t step back, if you are not having enough information on
these- go online read some quality articles, talk to your friend, who invest money in these, or
consult a financial advisor.
Don’t stop learning
Just because you are out of school and got a dream doesn’t mean that learning is over for you.
Today’s, job market is competitive than ever, and the more skills you acquire, the higher are the
chances to find and keep employment that truly pays a living salary
Learn about your job and the field you’re in, further get your hands on new skills that can help
you with your current job, this will give you a competitive edge.
Investing in yourself come in a selection of forms. You start learning a foreign language, study a
new trade, or read some knowledgeable books. Updating your knowledge doesn’t have to
happen in enormous steps. You just want to make sure that you are constantly moving ahead.
Build and Protect Your Credit
Having a good credit score is crucial to a lot of steps you’ll probably take in next couple of years,
want to buy a house, let’s say three years from now? First, you need some credit points.
Pay off your bills on time. Not only for credit score, but it is also a good practice to avoid late
fees. As a matter of fact, your payment history contributes approx 35% of your total credit
score, so it is imperative for clear all of your earlier credits on time.
Create your monthly Budget
Knowing how much money needs to be fixed to cover all your everyday expenditure will make
money less of a worry for you in your daily life. Make a list of the potential expenses, such as
grocery buying, cell phone bills, and how much is cost to feed your car. Stick with it- if your
portion for entertainment expenses is 30$ a week, then be it, even if your friends have decided
for watching next week’s blockbuster. Feel free to say “NO”.
Yes, you can do it
Making a conscious effort to cut down on your spending, and investing money wherever
possible is a huge footstep in the right path for a thriving future. Not only you’ll have fewer
money worries at present, but also will be benefited from your penny-pinching in the latter half
of your life, when you have sufficient retirement funds. Follow the above tips to build a strong
base for the rest of your life.