Financial Prep When Searching for a New Job

Whether you’re searching for a new job to procure greater happiness or to land a larger salary, you might not think of this quest as a task that you need to financially prepare for. However, you should take certain steps to ensure that this search doesn’t leave you with money problems.

Consider Your Current Position

In the event that you are planning to stay at your current position until you find a new job, then you may not have a tremendous amount of financial concerns. However, this approach isn’t possible in all fields. For example, you may need to constantly take off from work for interviews, which could compromise your position at your current company. Additionally, you may find that a full-time job and a full-time job search are too much to handle together, at least if you want to put your efforts into the latter.

Allocate Some Funds

Going on interviews is probably not something that you think will cost money, but that isn’t always the case. If you are applying for positions where you need to give a lesson or a demonstration at some point in the interview, you will have to purchase materials to put these projects together. Keep in mind that you won’t necessarily get the first job that you interview for. Also, each one might require a different type of lesson or demonstration, meaning that you would have to buy additional supplies.

Account for the Commute

You might not be on a search to have a shorter commute. In fact, you may be considering a longer one or even a long-distance move to get the job of your dreams. Whether you are paying more money for gas or you are flying across the country and staying in hotels for the interviews, you are going to have to put funds toward these endeavors. Longer drivers or days away also means you’ll be paying for meals.

Stock Your Savings

When you know that you’re going to be looking for a new job, the time has come to put as much money into savings as possible. On top of these related costs, new jobs can be precarious. You don’t necessarily have a guarantee of a position for a long period of time, so you want to be prepared in the event that the new job doesn’t work out.

Searching for a new job isn’t a task that many people associate with costs. As you can see, however, you should prepare yourself financially.

Big Myths Surrounding Why People Don’t Plan for Retirement

Ask anyone about their retirement accounts and they’ll have one of two things to say. They’ll either tell you they’re working hard and saving as much as they can so they can retire early and well, or they’ll begin issuing excuse after excuse about why they’re not saving, can’t save, or definitely will focus on saving later. Retirement is a big deal, unless you’re not saving and can’t do it. Before you start judging those who aren’t saving, take a look at the biggest myths surrounding the lack of retirement planning in the United States.

Myth: People Can’t Afford to Save
Fact: People Choose Not to Save

It’s easy to say you can’t afford to save for retirement. It’s suggested you save at least 10% of your income for retirement. If you make $50,000 annually, that’s $5,000 per year. If you’re paid 26 times per year, you save just over $192.00 every paycheck. It might seem like a lot to someone who only makes $50,000 per year until you break that down. That’s just over $96 per week, or $13.70 per day. You probably spend that in coffee and lunches. People can afford to save for retirement, but they don’t because they focus on other things first.

Myth: Only Wealthy People Save for Retirement
Fact: Only Half of Wealthy People Save

In this situation, wealthy is anyone who brings in more than $50,000 per year. This is considered average income in the United States right now, and only half of the people who make more than this are saving and planning for retirement. The rest are ignoring it completely. It’s true that fewer people belonging to low-income families are saving, but those who make more also aren’t saving.

Myth: Young People Don’t Save
Fact: Young People Do Save

It’s easy to fall into the trap of believing it’s young people with the mentality that they can worry about saving tomorrow and have fun today who aren’t saving. It’s true many young people aren’t saving for retirement, but almost half of people who are close to retirement age haven’t saved yet or didn’t start saving early enough to allow them to retire well. Retirement planning isn’t just ignored by the young.

As the age for retirement gets higher and higher as the years pass, it’s more and more difficult for people to retire with the kind of money they need to live comfortably. Many seniors are on a tight fixed income unable to afford to live, and it’s devastating. Saving for retirement is crucial, and it’s time everyone starts doing it.

Staying Financially Fit

You might not think that you need to check in on your financial status when you’re just starting out in your career. But looking at where you stand financially can have both immediate and long-term benefits. This blog post will give you a few tips for staying financially fit.

Go Over Your Statements
Go over your statements whenever you receive your bills in the mail, immediately review them. By doing this, you’re taking one of the few opportunities you have to catch mistakes and fraudulent activity. You should never just pay your creditors without going over your bills with a fine tooth comb. Since most banks have stopped mailing statements to their customers, this bit of advice goes for your electronic statements, too.

Know Your Assets and Liabilities

The items and property you own, or assets, and your debts, or liabilities, together determine your individual net worth. Assets could include some of the following:

  • Bonds
  • Cars
  • Cash
  • Collectibles
  • Real Estate
  • Retirement Accounts
  • Savings
  • Stocks

Liabilities might include some of the following:

  • Auto loans
  • Credit card debt
  • Mortgage
  • Other bills
  • Student loans

On an annual basis, calculate your net worth by adding up all of your assets and subtracting your liabilities. If you just left college with student loan debt, your net worth is negative. It’s not necessarily something for which you need to be ashamed. You’ll just have to work hard to pay down the debt.
Balance Your Checkbook
Balance Your Checkbook Even though most of us rarely write checks anymore, we still need to reconcile every cent that we spend on our credit and debit cards. Prevent those nasty overdraft fees by doing the math as often as possible.

Look Over Your Credit Report
Look Over Your Credit Report In your credit report, you will find information about your credit accounts and your payment history. If you want to qualify for loans at great rates, you will need a high credit score. Experts recommend that you look at your credit report at least once a year to ensure that all of the information on it is correct. You should do another check before you apply for big purchases like vehicles and houses. You can ask for a free credit report from each of the three credit reports – Equifax, Experian, and TransUnion – once every 12 months.

How to Become Financially Stable In College

As soon as many college students begin classes, a number of their student loans hangs over them like a cloud. Constantly thinking about the debt that you are building up can lead to a number of negative consequences. To reduce your stress, here are several tricks that you can use to become stable financially while pursuing your education.

Look For Discounts

As a college student, you are probably going to be on a budget. You should pursue every coupon and discount option is available to you. You may find some valuable deals if you do your research.

Manage Your Time Wisely

This strategy can help you save money. Setting up an organized routine for when to complete your schoolwork will give you more time to apply for jobs. Managing your time wisely will allow you to balance your schoolwork, employment responsibilities, and your social life.

Try To Cut Down On Your Cafeteria Trips

The eating expenses will quickly add up before you know it. You can save money by pre-packing a lunch or pursuing cheaper eating options. It may be in your best interest to avoid purchasing that expensive pizza every few days.

Stick To Your Budget

Create a budget that gives you room to spend some money, but still allows you to save money as needed. You should have the freedom and flexibility to decide how much money you would like to spend.

Apply For Side Employment

With the tight time management strategy in place, you should be able to find some time throughout the week to work. Take some time to do your research. You can find part-time employment and still adhere to a strict study schedule. It just depends on what you are looking for and your skill set.

Think Of Non-Traditional Strategies

There are plenty of success stories about college students creating their own businesses and becoming successful. You should also look at selling some of your old items, whether it’s movies, games, or any other electronics.

Don’t Give Up

You should remain positive no matter what the outlook is. Being a college student brings different financial challenges. More than likely, you don’t have enough money for food and all of your finances are tied up in paying for your education. While things may get tough, never allow your situation to overwhelm you. There is always a solution to your problems. Don’t be afraid to ask for help while you are trying to figure out how to manage your finances.