Thrifty Thinking: Financial Advice for Grads

1.9 million students have graduated this month and are now joining the workforce and making their way in the world. With the business and finance world changing so much, what advice would you give to the class of 2019?  That’s the question our team at TermLife2Go asked financial experts in order to create The Ultimate Financial Guide for College Grads. 

Check out all the expert advice here: https://termlife2go.com/college-grads-financial-guide/

Highlights include: 

    - Start investing now, don’t leave free money on the table!
    - Split your spending to make the most of life now and in the future: 
                 10% Giving
                 50% Living
                 10% Preparing for emergencies
                 10% Planning for long-term goals
                 10% Improving
                  10% Enjoying
    - Look beyond your salary and check out what benefits your job offers you.

  I had a chance to interview financial expert Kathryn Casna to learn more.

Why do college grads need a dedicated financial guide?

Two-thirds of college graduates will have student loan debt, but few will have high levels of financial literacy. Meanwhile, these same young adults will land the first jobs of their careers.

Deciding how to divide that shiny new paycheck between paying down debt, enjoying life's adventures right now, and setting themselves up well for the future is tough. College grads can use a  guide that quickly breaks down exactly what steps to take so they can get on with the adventure.

How have things changed for recent college graduates over the past decade?

A decade ago, average student debt was under $25,000. Today, that number is poised to spill over the $30,000 mark--in fact, it has in some states. Meanwhile, wage rates are increasing only enough to offset inflation. Earning a degree has become more important than ever in many jobs, but paying for college is also harder than ever.

How can parents get a jump on encouraging their kids to do financial planning before college graduation?

They can share our guide with them, of course. Parents can also encourage more financial responsibilities throughout college. For some students, that might mean managing their own low-limit credit cards. For others, it might be shopping around for the best car insurance.

But really, the conversation should start before then. Parents can share their own financial goals with their kids, show them their retirement savings plans, and allow them to start their own savings account much earlier than college. Start when they become curious about money, and just keep teaching.