PERSONAL FINANCE: Help your graduate get on solid financial ground
With graduation season drawing to a close, many recent graduates are making their first major decisions about the future — where to live, which job to take and how to spend their non-working hours. Stepping out on their own often comes with another big first — being financially independent.
While this newfound control can be exciting, it can often be overwhelming, especially during these uncertain times. If your son or daughter is fortunate to be in a position to be gainfully employed, help them start off on solid financial ground by making sure they don’t skip these important first steps.
Study your employee benefits. For many recent grads, this is the first time they’ve been offered a 401(k), health insurance or the chance to purchase additional time off. Before enrolling in benefits, graduates need to research and understand their options. Remind them that it’s okay to have questions, such as whether they should consider disability insurance or if a plan with a Health Savings Account (HSA) is the right fit. A good place to find information is through the human resources department or benefits provider. They will likely have the resources and staff available to help.
If graduates have questions specific about their financial situation, they could consider meeting with a financial professional. A financial advisor can provide objective advice and answers to more technical questions. Ultimately, graduates should have enough information and guidance to feel confident making their benefits selections.
Have a plan for your debt and credit. Graduates today have more ...
More on: www.timesherald.com