Advice for Graduates Entering the Workforce

As college graduates finish their studies in preparation to enter the workforce, Stearns Bank and the Independent Community Bankers of America (ICBA) want to remind them of the importance of planning for their financial future.

“For soon-to-be graduates, transitioning from the classroom to the real world can be exciting and overwhelming,” said Jane Litchy, Vice President/Regional Branch Manager at Stearns Bank.

“As a trusted financial advisor, call on Stearns Bank to help put your finances in order and create a financial plan that incorporates your short- and long-term financial goals.”

ICBA and Stearns Bank remind new graduates that the financial decisions made during their wealth-building years can affect them years down the road and set them on the path to financial independence. Take control of your finances and keep these strategies in mind:

• Start a budget. Learn about our online services available to help you manage your finances and track spending remotely.
• Pay off student loans. It may be tempting to make the minimum monthly payments, but a more aggressive repayment plan can save you thousands in the long run. Some companies will help you pay off your student debt; make sure to ask about this when negotiating benefits with prospective employers.
• Plan for retirement. Automate your savings so that a portion of each paycheck goes directly into a savings account. Take advantage of your employers’ 401(k) plan and any matching contributions, if offered.
• Spend responsibly. Shopping and weekend getaways are a great way to recharge from the work week but can eat away at your budget. Do your research and comparison shop before major purchases.
• Establish an emergency fund to cover life’s unexpected events and give you greater peace of mind. You can start small with a 52-Week Money Challenge (in a year’s time you’ll have socked away $1,378) or be more aggressive and start out with a lump sum and build from there. A good goal is three to six months of net pay.

“This stage of a grad’s life is all about empowerment—and financial matters are no different,” said ICBA President and CEO Rebeca Romero Rainey. “ICBA and Stearns Bank congratulate this year’s graduating class and wish them a prosperous financial future.”