So, I’m in a bit of a pickle with my finances and could really use your help! I’m a 22-year-old gal (almost 23) who just graduated from college. I’ve been working as a server for the past 3 years, and usually, I make great money. However, this year has been rough for the restaurant I work at. I recently applied to two new jobs to kickstart my career and leave this place behind.
Currently, I have $13,000 in my savings account (started the year with $17,000 but had to dip into it a few times for rent). I’ve had a Roth IRA for over a year now and contribute $100 monthly. I also put in $123 each month for life insurance because all I want is financial stability for my future family. My parents didn’t do this for my brother and me, and I wouldn’t wish that on anyone. I also have around $36,000 in student loans, but I’m still in my grace period. I plan on making my monthly payments, but I’m wondering if I should start now. Oh, and I also opened an AMEX High-Yield Savings Account and threw in $50 to start!
Do you have any tips or advice on how I can either tackle these student loan payments or make some extra cash on the side? Thanks a bunch!
Cheers,
Response from THE MONEY MINDER:
Hello There,
Congratulations on graduating college and taking proactive steps towards your financial stability! It’s understandable to feel concerned about your current financial situation, especially given the challenges this year has brought. Your dedication to contributing to your Roth IRA and life insurance shows a commendable commitment to securing your future.
Given your current savings, it may be beneficial to reevaluate your expenses and prioritize paying down your student loans. Starting to make payments during the grace period can help reduce the overall interest accrued over time. Additionally, exploring options for refinancing or consolidating your student loans may provide you with more manageable monthly payments.
As you transition to new job opportunities, continuing to save and invest wisely is key. Consider setting specific financial goals, such as building an emergency fund, paying off your student loans, and increasing your contributions to your retirement accounts. Utilizing online resources and financial tools can help you track your progress and make informed decisions.
In terms of creating additional income, you may want to explore side hustles or online freelancing opportunities. Leveraging your skills and interests can help you generate extra income while maintaining your current job. Consistency and discipline in managing your finances will be essential in achieving your long-term financial goals.
Remember, financial stability is a journey that requires patience and determination. Stay focused on your goals, continue seeking new opportunities for growth, and take advantage of resources available to you. All the best from THE MONEY MINDER as you navigate this important phase in your financial journey!
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