Financial Planning Tips for Recent
For recent college graduates there can be a mix of excitement and uncertainty when looking at what lies ahead in their professional and personal lives. The same is also true when it comes to finances, although for many new graduates there is more worry than excitement when facing the reality of paying back student loans.
Fortunately, there are ways to tackle student loans and still manage to establish the building blocks to greater financial freedom.
Lower Student Loan Payments
One of the best ways to tackle student loans is to consolidate your student loans through an iHelp loan. An iHelp loan with Student Loan Finance Corporation (SLFC) available through Jonestown Bank & Trust Co. can be a greatway to reduce your student loan payments. Of course, you’ll want to understand how your interest rate, repayment benefits, deferment/forbearance options and other factors differ between your current federal student loan(s) and a private consolidation loan to help you determine if consolidating your federal student loan(s) into a private consolidation loan is in your best interest. Once federal student loans are consolidated into a private consolidation loan they are no longer under the federal student loan program.
Consolidating your loans can make life simpler because you reduce your loans into one single loan and you may be even able to make lower monthly payments! The benefits of an iHelp Student Consolidation loan include:
- Single monthly payment
- Flexibility of fixed or variable rates
- No prepayment penalty
- No loan origination fee
It’s not always easy to save money when you’re starting out, but every little bit helps. Being disciplined in your saving from the beginning will help you reach your financial goals over time. JBT has several checking and savings accounts designed to help young adults manage their money.
Create a Budget
Establishing a budget for your monthly expenses is a good way to avoid increasing your amount of debt. Expenses may vary month-to-month so keep that in mind when planning your budget each month. List your expenses (rent, food, car payment, cell phone bill, gas, utilities, and the amount of money you want to save) and plan accordingly.
Find Housing You Can Afford
Housing is likely going to be your highest single monthly expense so be smart when it comes to considering your options. Decisions about where you live and whether or not to consider having roommates to help share costs are options to keep open.
Establish An Emergency Fund
If possible, set aside 5 to 10 percent of your monthly income and put it into an account that is safe and easy to access – like a JBT savings or checking account. Unexpected expenses are a part of life and putting money into an account set aside for those unexpected events will be a big help.
Plan for Retirement –
You are never too young to set aside funds toward your retirement. We encourage you to try this FREE Retirement Calculator to see the impact of building retirement savings over time. Compounding enables small savings, done routinely, to add up to a nice total down the road. Check with JBT about ways you can start securing your financial future.
Making College More Affordable – Tuition Gap Loans Can Help
Being able to afford college can seem overwhelming, especially when you take into account that tuition doesn’t include books, supplies or room and board. Even with scholarships and financial aid you can be facing costs that are challenging.
An iHelp loan with Student Loan Finance Corporation (SLFC), through local iHelp partner Jonestown Bank & Trust Co., can help cover the gap between the cost of going to college and the amount of money a student receives from scholarships, grants or federal loans. You can afford college and SLFC & JBT can help take your worry away!