Life after high school or college can be life-changing. Well, it probably almost always is life changing. Depending on whether you take time off to travel, work full-time, go to school or anything else, the financial world that you are entering is probably on your mind. There will most likely be many new things in your life, such as a first job, new job, increasing income, taxes, bills, and so on.
I am 20 and am in school. However, I just started this summer semester. I currently work full-time as well and have worked since I was around 15-16 (and full-time most of this time).
There are many things that I am still learning. I am still learning about budgeting my money better, controlling my spending, earning more, saving more, increasing my credit score and more. I am definitely not an expert when it comes to financial knowledge! That is why I started this blog 🙂
Taxes will eat up a lot more of your paycheck than you first think. Know exactly how much you will be making after taxes before you start spending it!
Some people spend their first paycheck and buy a car, without realizing how much is actually going to taxes and that their total income is actually lower than the salary amount that they were told. There is tax relief help out there if something does happen, but you should still try to be as prepared as possible.
If you decide to move out after high school or college, then you will, of course, have bills. I moved out right after high school in with my sister and her fiancé, and have been paying bills since before that.
Sometimes it does stink, but I am happy that my bills aren't too high. Luckily I am done paying on my car loan and that is paid off because that is a decent amount of savings each month.
Saving and retirement
If you are young like me, then retirement may not be on your mind. However, it should be! If your company offers some sort of retirement plan, then you should look into it. Many companies will match a certain retirement amount, which is practically free money. How could anyone turn down free money?
You should also focus on saving as well. Savings can help you reach certain financial goals, such as saving for your next car, down payment for a house and so on. You never know what you may need/want in the future.