Did you just graduate from high school or college? You likely have new financial challenges. Adulting doesn’t have to be scary! Now is the time to start forming good financial habits as you move ahead in life. Follow these tips to get started:
Start with everyday budgeting
Still eating at mom and dad’s house? Someone else paying for your cell phone? Soon you’ll have to start paying for these things and more. Make a budget for yourself and find ways to cut back on spending. Check out our budget spreadsheet here and other ways to set good financial habits in our resource guide.
Search for jobs wisely
Many job opportunities are posted online and scammers take advantage of that with tempting offers such as working at home for a big salary. Remember, if a job offer sounds too good to be true, it’s likely a scam.
Before you apply for a job, research the company and contacts to make sure the job is legitimate.
Look for job fairs in your community. Here in Los Angeles County, members of the Board of Supervisors regularly share information about upcoming job fairs.
Check your credit closely
If you’re planning to rent an apartment or buy a car, it helps to have good credit. Your credit reports will let lenders and creditors determine how likely you are to pay back money lent to you.
Check your credit report often to make sure all of your information is accurate. You can request a free credit report once a year. Make sure your social security number or other information hasn’t been compromised. If you suspect something is wrong, contact the credit reporting agencies right away.
If you have never opened a bank account, credit card, or taken out student loans, you might not have much of a credit history. Once you get a credit card or a loan, always check your statements closely and pay your bills on time. Be careful with your credit cards. Use them only as much as necessary.
Read contracts before you sign
Moving into your own place? Before you start your search, determine what you can afford. Prioritize which amenities are most important to you. Before you commit, make sure you understand the rental agreement or lease. Call us if you need help reviewing the documents.
If you’re looking to purchase a new or used vehicle, read the California Car Buyer’s Bill of Rights first. Never dealt with a car dealer? Bring an experienced friend or family member with you to the dealership. If you’re financing a car, make sure you understand the terms of the contract and how much you have to pay.
Travelling abroad? Get fluent in money management.
Before you travel, make sure you have enough money set aside. This is especially true if you’re planning to study abroad. Consider all the costs. Some programs are not all-inclusive. You might have to pay for textbooks, lodging, food, and more. To make the most of your once-in-a-lifetime opportunity, start saving money at least a year in advance.
If you travel outside of the country, check the exchange rates of the places you are visiting. It’s even more critical than normal to protect your personal information when you are out of the country.
For more financial tips, follow the County of Los Angeles Center for Financial Empowerment on Twitter.
