ON YOUR OWN

At the end of this class participants will have knowledge of:  Banking basics – savings to eBanking  Things to consider when selecting and Financial Institution  Budgeting – taking charge of your money  Types of debt  Strategies for financing college

BANKING BASICS

 Safe – NCUA/FDIC  Available when needed  Get started with minimal cash  Direct Deposits  Recurring Deposits  Different types can be offered – Interest bearing  Statement Savings  Money Market  “E” accounts - Holiday and Vacation e-clubs  Some financial institutions charge fees for not maintaining the minimum

 Can be used to deposit money including paychecks, refund checks, pay bills, etc.  Convenience – tied to check card  Online banking  Budget – Money$mart Helps you track your expenses and income You can set up alerts (prevent overdraft)  Fees

All checks have the following components:  Date  Amount  Maker  Payee  Endorser  Routing Number  Account Number

 You can use this in place of cash. To avoid PIN- related (debit) charges always choose “credit” when asked.  Debit v. Credit Card  ATM Charges  Lost or Stolen Cards REPORT IMMEDIATELY!

 Convenience  Services  Minimum Deposit Requirements  FEES To hold your Money Access Your Money Overdraft/NSF  NCUA/FDIC

BUDGETS

A budget is a way of keeping track of the money you get and the money you spend.  Define your financial goals  Make plans to reach your goals  Take action

 Puts you in control  Helps you create a visual spending picture

LEARNVEST /free-budget-spreadsheet

 Pen and paper  Smartphone apps package-tracker/id ?mt=8 app/spending-tracker/id ?mt=8

College or School Average Starting Salary Offer* Arts and Sciences$37,874 Biomedical Engineering, Science, and Health Systems $51,886 Business$47,186 Education$39,100 Engineering$58,584 Information Science and Technology $58,686 Media Arts & Design$36,483 Nursing and Health Professions $55,688 Technology and Professional Studies $55,639 * These average starting salaries are from 2010, the most recent year for which complete data are available.

SOURCE: Web/Research/Salary_Survey/Reports/SS_Jan2 013_ExecSummary.pdf

Occupation: Business Salary: $53,900 (2012 average) College Debt:$35,200 (2013 average)*

 Rent  As of September, 2013, average apartment rent within 10 miles of Philadelphia, PA is $1265.  One bedroom apartments in Philadelphia rent for $1083 a month on average and two bedroom apartment rents average $  Utilities (Electric, Water, Gas) - $100 /month  Cell phone - $100 ( 2GB data, unlimited talk/text

 Saving (PAY YOURSELF FIRST)  Cut your expenses Resist peer pressure Use student discounts  Want and Needs  Opportunity Costs Stay on Campus v. Commute Housing - Dorm v. Apartment Meal plans -All inclusive v. design your own -Meals v. dining dollars

DEBT

 Parents  Credit Cards  Auto Loans  Student Loans Direct Private

WHAT’S NEXT…

 Cost of Attendance  Tuition  In-state  Out-of-state  Private  Room and Board  Books  Technology  Fees

 Savings  Scholarships  Grants  Student Loans  Federal Direct Loans  Private Loans  Work Study  Part-time Job

 Federal Direct  Subsidized  Unsubsidized  Direct PLUS  Perkins  Work Study  Private Loans

The Rule recommends that an individual's total debt should be no greater than 20% of the individual's net annual income and that monthly debt payments should total no more than 10% of the individual's monthly net income. Bottom Line:

 K.I.S.S.  Discipline  Make educated and planned decisions  Use all your school’s resources

  budgeting-apps-college-students/  downs-of-the-student-loan-lifecycle/  