SIFE Financial Corner

U-News Staff

Each week, the Students in the Free Enterprise (SIFE) Team from the Henry W. Bloch School of Management, with assistance from a group of respected business people, will answer your financial questions.

How can a college student best start preparing for the monetary needs of life after college?

The first and foremost thing that you can do to prepare for this new experience is to save, save, save your money.

Once you are out of college and working full time, you are probably going to be making more than enough money to support yourself. The key at this point is to put away as much money as you possibly can.

A “rainy day fund” is always a good place to start. This is a separate fund designated to save between three and six months of wages in case of an emergency.

Also, making wise investments is a key part to preparing for life after college. One of the best investments you can make is through purchasing valuable investments such as property or a house. Both of these investments will more than likely pay you huge dividends over time.

Lastly, it is important to build up some good credit. One very easy way to do this is by using your credit card only for a few low dollar purchases per month and then paying the balance when your bill is due.

The most important thing to remember with this is to not let your spending get out of control because the interest on credit cards is outrageous.

E-mail your questions to the Student in Free Enterprise Team at [email protected]