Youth and Money
Tax Returns
Most college students have filled out a simple tax form before but now that they have joined the “real world” tax forms become much more complicated. Grads will go to their local tax service and not be properly prepared with a list of deductions that they can take. A few of the activities that can be identified as tax-savings for new graduates include job-hunting expenses such as resume services, mailing costs, travel to interviews (if you drive, keep track of the mileage), professional association dues, subscriptions to journals, moving expenses related to starting a new job, charitable contributions and setting up a home office.
Understand Credit Before You Use It
The bottom line is credit card companies want your business and really don’t care if you go up to your eye balls in debt. An onslaught of credit card applications with appealing offers to sign up confronts college students and grads everyday. Most of these students and grads who are targeted by the credit card companies know very little about interest rates, late fees and the damaging string of events that occur when only the minimum amount due is paid off each month. A college student or grad does not need more than one card. Many students and grads carry three of four different cards and max them all. The debt does not go away and for many grads, they find that they are paying off their credit mistakes ten to fifteen years down the road!
Something else students and recent grads should remember is that their credit reports will be reviewed when they are trying to rent an apartment or buy a new car. Also, job opportunities can be lost if employers check credit reports to see if they are, or were, financially responsible. Many employers will not hire a recent grad who displays the inability to show restraint and accountability in regard to credit cards and finances. The main objective is to keep a minimum of one major credit card for emergencies only. Remember, for most college students and recent grads, if the credit cards are in their wallets, they will use them.
The Future Is Now
Recent college grads should take every advantage of what their employer offers them toward their retirement. Of course, the last thing on the minds of recent grads is retirement, but it is an offer they should not refuse. Utilize the human resource departments of their new employers and contact the help lines of the 401k plans that the employers use. By taking advantage of this free assistance, the college grads will be on their way to a more financially secure future.
