‘I am a recent college graduate just starting my first full-time job’: How can I optimize my budget living at home?

Hi Money Minder,

So, I just graduated college and landed my first full-time gig. Lucky me, I get to crash at my parent’s place to stack some cash before flying the coop.

Making 24 bucks an hour, but taking home 2,960 smackers after the tax beast takes its cut (no benefits, though).

Here’s the lowdown on my monthly $$ flow:

• Groceries: 200$
• Gas: 160$
• Car insurance: 150$
• Health insurance: 90$

Now for the game plan:

• ROTH IRA: 690$
• Investments: 1,500$ (VTI)
• Remaining chunk for next year’s money mud wrestling

Already set with my emergency fund, thanks to those part-time college hustles.

Any pearls of wisdom to toss my way on this setup? Hit me up!

Later,
Sunflower Warrior

Response from THE MONEY MINDER:

Hello There,

Congratulations on starting your first full-time job and being able to save up while living with your parents. Your budgeting and saving plan is quite organized and commendable. However, there are a few suggestions that may help you optimize your financial strategy.

Considering you have no benefits, it might be beneficial to look into getting a health insurance plan that offers more comprehensive coverage. You never know when unexpected medical expenses might arise, and having adequate coverage can provide peace of mind.

Additionally, while your savings plan is well-structured, allocating a portion for immediate or short-term financial goals might be beneficial. It’s essential to balance long-term savings like your ROTH IRA and investments with short-term saving goals that can help you achieve financial milestones or address unexpected expenses.

Lastly, it’s great that you already have an emergency fund built up. It might be a good idea to periodically review and adjust the amount based on your current circumstances to ensure it remains adequate.

Overall, your financial approach seems well thought out, but considering minor adjustments based on your individual needs and goals is always a good idea. Keep up the good work and continue to prioritize your financial well-being.

Farewell from THE MONEY MINDER.