Getting your first paycheck at your first job is exciting.
You worked hard for it, after allyou earned it.
What should I do with this money?
It can be overwhelming to decide what to do and how to properly manage it.
Total net:The amount of money you earned after your taxes and deductions.
Basically what will actually go to your bank account.
Hours:Youre either an hourly paid employee or a monthly paid employee.
It will either say how many hours youve worked or your set monthly pay.
Deductions:What has been taken out of your paycheck such as taxes, insurance and more.
TaxFormCalculator: This website lets you calculate your Federal Income Taxes in your state.
you’re free to also compare your 2018 taxes from previous year taxes.
Remember to also keep a part of it in your checking account in case of quick emergencies.
Also, consider setting up an additional emergency fund.
Build your fund over time and double-check you have easy access to it.
Calculate how much you want to repay and how long you want it to take you.
If you could manage it, paying more than the minimum will benefit you in the long term.
Heres couple of details to keep in mind:
What kind of loan do you have?
Is it a federal or private loan?
Make note of the interest rates, the lender and your balance.
How long is your grace period?
In other words, how long can you wait post-graduation after your first payment.
Set up automatic payments, just as you did with your savings.
You pay money on the gains when you use the money in retirement.
