Those last few weeks....

As of today, I have exactly two weeks and 4 days until my college career is officially over. No more sleeping in until 11, no more all-hours of the night partying, and certainly (thank goodness!) no more horrible, food-release dining hall food. But venturing out into the real world is a scary thing, and I am a little apprehensive about paying all these bills, taxes, and boring expenses (why, WHY does my gas bill have to be $200?? I'd rather go a Red Sox game!).
Yet these are all a fact of life, and it is important you don't just ignore them.
Many college students graduate with students loans, credit card debt, and no clue how to manage their own money. Mom and Dad have paid for the neccesseties for so long, you forget that heating, and water, and television costs money. And you've gotten accustomed to your weekend job paying for your weekly manicures, your frequent bar trips, and new clothes.
But if there is one thing that I'm very appreciative toward my father for, it is his discipline. My father is a banker, and throughout my life he's had me make my own budgets, do my own taxes, and generally he's taught me how to manage my financial future. One of the most important things to do before you graduate is put together a budget. Here is how you might do that:
1. Take your annual salary, and divide it by 52. So that's how much you make in a week- GROSS
2. Figure out how much your company will withhold from your check, depending upon your tax bracket and your state taxes. It is important they take out enough, but be sure they don't take out too much. Sure, you'll get a nice fat check in April, but there is no sense in letting the government earn interest on YOUR money...when you could be earning interest on it.
3. Determine all your neccesary expenses, such as: rent/mortgage payments, gas bill, water bill, car insurance, car payments, medical & dental insurance payments (usually deducted from your check), and groceries.
4. If you are like most recent grads, you probably don't have too much left over after all the necessities. But if you do- save it!!! I can't stress how important it is to- as I've said about a billion times in these blogs- start early!! Even investing only $25 a month in your 401k makes a difference!
5. You should also put some cash in a rainy-day money market fund or savings account- you never know when your car will need repair, your stove breaks down...etc.