As thousands of college seniors approach the finish line towards earning their degree, many have now begun planning their next steps, whether it's pursuing a full-time job or earning a Masters or Doctorate degree. However, many students graduate without any useful financial lessons or guidance about post-college life, making it harder for them to achieve their long-term personal goals. Today's Aegis blog post offers several key financial lessons for college students about to begin the next phase of life.
Whether a college student works to pay their own way through school or has tuition and expenses paid for them by their parents, they still need to know basic budgeting for their post-college life. This should include how to create and stick to a budget, reducing expenses and living frugally, and the importance of saving money. In addition, college students should learn basic financial terms and processes regarding credit scores, personal insurance, mortgage and car loan terminology, and personal taxes.
Strive To Be Debt-Free
Nearly 45 million Americans carry a total of $1.5 trillion dollars in student loan debt, meaning that student loan debt is an immediate challenge for many graduating students to overcome. Graduating college students should avoid waiting until they find the "ideal" or "perfect" job and instead take any good-paying job so they can start paying off debts as soon as possible while gaining valuable job experience. In addition, they may also consider getting a second job to lower outstanding debts, and avoid frivolous spending such as dining out frequently, buying new wardrobes, or flashy new cars.
Have Insurance Coverage
Finally, some college graduates might consider skipping insurance coverage in order to lower their monthly expenses or focus on paying off debts. A lack of proper insurance coverage can be detrimental because it makes any potential life event financially devastating. For example, not having health or renter's insurance can result in extremely high out-of-pocket costs if a person gets injured and hospitalized, or if their apartment catches fire or is burglarized. Proper insurance coverage is an affordable way to have financial protection against disasters, and also gives peace of mind.
College students about to enter the job arena or a new phase of their education can use all the help they can get, and Aegis Insurance & Financial Services is pleased to help those looking for reliable and affordable Personal Insurance coverage. Whether you need Renter's Insurance, Auto Insurance, Life Insurance, or any other kind of coverage, Aegis can help! Fill out our online form for a free quote today, or call our friendly and helpful agents at 713-850-7622.