Thursday, 11 June 2009

• Let's Prepare The Young'ens For A Sound Financial Future

  We had a post a few days ago about kids needing to learn about credit problems while in college. Some of the commenters even suggested that kids learn to manage these problems as early as JHS and HS.  
  
  I have to agree. I think it's crucial for parents to teach their kids how to become financially sound for the future. That doesn't mean the schools are off the hook.  Schools should find a way to do this as well.  Since that's not happening across the nation any time soon, we're going to bring some tips from the Bargainist to help you (talking to you young Dollarish readers out there, this is your lesson) before it gets out of hand and you're in college or the real world facing debt. (This post is targeting college graduates but doesn't hurt to preach it to the young'ens.)
  
  

  
  

  (Make sure not to drink away your profits)
  

  Think About the Future
  It may seem tough to imagine retirement. Heck, you just graduated. But think back to Econ 101 and the power of compounding interest. The earlier you start saving, the longer your retirement fund will have to grow. Check out the Vanguard retirement calculator to see how much you should be saving in order to reach your goals. Enroll in your company’s 401k plan right away. 

  Don’t Expect to Have It All Right Now
  It’s a trap many grads fall in to. You earned the degree so that means you earned the right to a new car, new flat screen, and maybe even a new jet ski. Going from earning zero to earning anything will make you feel wealthy, but be patient. Don’t expect to have all of the stuff you’ve always imagined having as an adult right away. 
  

  Be Leery of Credit Cards
  They sound great. Complimentary airline tickets. Cash back rewards. Free t-shirts. Credit card companies love to entice people with perks– especially new graduates. Your cash flow may be more like a trickle, but don’t let that force you into making credit cards a necessary crutch. The 30-year-old you will be thankful.

  (If you'd like to read the entire post, then head over to the bargainist site.  They have many other posts and coupons that you might like.)

  For many of you, you've had your share of problems with money or dealt with debt while in college and now in the real world.  What are some godo tips or advice you'd like to share with our younger audience who still need some guidance when it comes to finances.  Feel free to mention anything that might come in handy.
  

  
  

  
  

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