As Panther Creek seniors eagerly await graduation, the realization that they will be living on their own for the first time is slowly surfacing in their minds. It’s time for students to start thinking about their financial future. Whether you’re a senior or not, knowing how to manage your money is key once you get a job and especially when you need to start supporting yourself. Here are a few tips you can follow to start better managing your money:

1. Know your “needs” versus your “wants”

According to the Federal Deposit Insurance Corporation (FDIC), “needs” are crucial to living and “wants” are products and services that are nice to have yet are not necessary. First, ask yourself general questions about what you want to spend your money on. Here is an example:

1. Do I need to buy lunch today?

A- Yes, it is necessary.

2. Do I need to buy a $12 pizza?

A- Not necessarily, there could be something cheaper.

Think of all of the possible options for lunch. You could save even more money by making a sandwich or packed lunch at home and bringing it to school. However, there may be more tempting options such as going to Chick-fil-A or Amante’s with your friends. In this situation you can still think financially; is there a possibility to split the cost with a friend and share?

2. Save your money

When you get your paycheck, your brain may start racing with ideas and visuals of all the clothes and products you can now buy–hold that thought. You don’t want to spend all your money on new things. Even saving a small amount can add up to be a lot over time. You should automatically chose a specific amount or  percentage that you want to save out of your allowance or paycheck on a constant basis.

3. Create a budget

To start off, write down everything you spend your money on in a given week. This will give you an idea of how your money is being spent and what purchases can be considered unnecessary. Making a budget will help guide you to spending your money on things that are important.

4. Pay on time to have good credit

According to Care For Your Future, in order to build up credit history, which is important in obtaining a student loan, car loan, and maybe later in life, a mortgage loan, you must pay your bills on time. Having bad credit will make it more expensive to borrow money. Even if you’re not attempting to get a loan, you could be stuck if you have bad credit. Your credit card information can be checked by potential landlords and employers to see if you are responsible enough to have a job or rent an apartment.

In conclusion, there are many different ways you can save, spend, or invest your money on a daily basis to ensure a more successful financial future. Financial advice is something everybody needs, no matter the age or situation, and it’s important for students to know this before heading off into adulthood.