With your college graduation approaching, it might be advisable to sit down and think about your finances. The common tendency is to wait to worry about your financial situation in earnest once you’ve reached your late twenties or even thirties. After all, most college grads plan to spend a few years paying their proverbial dues with a low-income job. While they may have amassed some credit card debt during college, they’re comfortable enough with the idea of adding more debt to the pile. The idea is that five or ten years in the future, they’ll earn enough money to pay off all of their credit cards.
Unfortunately, this is an unhealthy trap to fall into–especially if you’re already in debt. It’s true that there are success stories of people who have moved to the big city, lived off of credit cards, and made it big. They became wealthy and successful. We read about them and want to do the same.
But for every success story are hundreds, if not thousands, of financial failure stories.
Start with a Clean Slate
Polo Funding can help you start after graduation with a cleaner slate by helping you consolidate high-interest credit card debts into one manageable monthly payment. Think of it the way you feel when you start a new semester with a fresh set of pens and notebooks. Don’t you want to start your post-college life with that feeling?
Even if you must pay your dues by living in squalor and making sacrifices, you will have more energy to do so if you aren’t already carrying thousands of dollars in credit card debt.
Approach Your Post-College Money Plan with an Open Mind
Let’s look at a couple of helpful financial philosophies that you can learn from (without having to wholly embrace them).
Minimalism – While it’s not practical to assume that every college graduate should pursue the tenets of minimalism, there are aspects of that philosophy that can be helpful to examine. Minimalists don’t necessarily just throw everything away. Instead, they work on changing their relationship with the things that they own. For example, a minimalist is not likely to buy a cheap laptop. If they plan to get a lot of use out of their laptop for a variety of purposes, they’ll probably purchase the most expensive one they can afford. In the same way, they may only own a few sets of clothes, but you can be sure that the clothes they do own are of high quality.
A Mindset of Abundance – A lot of this philosophy is drawn from Buddhism. While we’re not suggesting that you run out and join a temple, we do find that the relationship Buddhists have with money may be more healthy than the Western mindset. There is a shift in perspective that can be learned without converting to eastern religion.
How Polo Funding Can Help
One of the biggest parts of your post-college money plan should be getting out of debt; this is where Polo Funding comes into the picture. If you have a bunch of credit card debt that you’re carrying over on your credit cards (as opposed to being able to pay it off each month), you need to get out from under it. Polo Funding helps you by eliminating multiple creditors and cutting your monthly payments.
Why an Emergency Fund is So Important
It’s important that you start saving money as soon as you start earning money. No matter how little you make at first, you should take something right off the top for your savings. Maybe it’s only $30 or $50 a paycheck. Eventually, your savings can be for vacations, lifestyle upgrades, and retirement, but in the beginning, you need to build yourself a safety cushion. With an emergency fund comes a certain kind of freedom that many of your peers will not have. An emergency fund allows you to weather storms without reaching for credit cards and more debt.