Starting Your Career Off Right The Job Offer Take your time Salary oCheck out surveys oTalk to recruiters oScan job postings oAsk friends and associates.

Starting Your Career Off Right

The Job Offer

• Take your time• Salary

o Check out surveyso Talk to recruiterso Scan job postingso Ask friends and associates

• What can you expect?• Vacation and other perks

The Job Offer—Benefits

• Insuranceo Medical

o Prescription drug coverageo Visiono Dental

o Disabilityo Life

• Your contributions

The Job Offer

• Company background• Favorable industry• Your interest• Job duties• Advancement opportunities• Corporate culture• Supervisor

Achieving Your Financial Goals


• Set clear goals• Resolve to spend less• Create an emergency fund• Make saving a priority


• Reduce credit card debt• Evaluate your insurance coverage• Think taxes

Budgeting

• Gross monthly income• Net income• Fixed expenses• Flexible expenses

Budgeting

• Discretionary expenses• Total it up• Increase your savings• Programs like Quicken can help

Student Loans

• The sooner, the better• Grace period• Repayment options

o 10 years

• Budget• Don’t default

Credit Cards

• Be aware of teaser rates• Stick with one credit card• Pay in full every month

Credit Cards

• Pay on time• Avoid cash advances• Protect your credit history

Credit Cards

• Don’t exceed your credit limit• Review statements carefully• Report lost or stolen cards immediately• Protect personal information

Savings and Investing

• Start small• Contribute to your retirement plan• Save through payroll deduction plans• Set up an automatic investment plan• Round up your mortgage

Savings and Investing

• Bank your raises• Keep paying off a loan• Pay off your credit cards• Reinvest dividends• Keep track of where the money goes

Investing for Wealth

• The power of compound interest• Rule of 72

72/2=3672/6=1272/8=9

Investing for Wealth

• Planning for wealth• Make the most of a 401(K)

Investing in Your Future

• Asset Allocationo Stockso Bondso Cash Equivalents


• Asset allocation is ongoing• Diversification• Life circumstances• Investment goals, timeframe and tolerance


• Long-Term Investmentso Mutual Fundso Stocko Bonds


• Retirement Specific Investmentso 401(k)o IRAo Social Security

Investment Options

Short-Term Investments• CD• Money Market Funds• Savings Account

Protecting Your Family Through Insurance

• Life insurance• Choosing coverage

o How much can you afford?o How much is needed?o For how long?o Protection or investment?

Term vs. Permanent

• Termo Largest death benefit for the dollaro Annual renewable and level premiumo Return-of-premium

Term vs. Permanent

• Permanento Combines a death benefit with an investmento Part of the premium is invested, building cash valueo Higher premiumso Whole life, universal or variable life

Term vs. Permanent

• Whole life• Universal life• Variable life

Health Insurance

• Don’t go bare• HMOs• PPOs• POS

Health Insurance

• Flexible Spending Accounts• COBRA• Medicare• Medicaid

Long-Term Disability Insurance

• Benefit Amount• Term of Benefits• Elimination Period• Noncancelable• Guaranteed Renewables• Own Occupation or Any Occupation

Government-sponsored Disability Benefits

• Workers’ Compensation• Social Security Disability• Veterans Benefits• Federal Employees Retirement System

Get Tax Smart

• Get credit for care• Make retirement plan contributions• Improve your recordkeeping• Plan your investment gains

Get Tax Smart

• Give away some assets• Use your vacation home wisely• Get advice early

Disaster Preparedness

Adapted from American Red Cross, Financial Preparations

Protect Your Property

• Install smoke detectors• Elevate utilities to upper floor • Clear surrounding brush• Secure objects that could fall


Do a Thorough Home Inventory

• Record location of all original documents• Make visual record of your possessions• Record model and serial numbers


Do a Thorough Home Inventory

• Photograph home exterior• Make copies of receipts• Get professional appraisals


Insurance for Your Home

• Replacement coverage• Reappraisals• Replacement cost of possessions• State-operated; Federally operated pools


Insurance if You Rent

• Location• Renter’s insurance• Comparison shop


Cash & Personal Belongings

• Stash some cash• Emergency fund• Credit card • Evacuation box• Safe deposit box

Do What You Can!

More on Natural Disasters

• Red Cross• FEMA—www.fema.gov• NEFE—www.nefe.org

Thank You!

Starting Your Career Off Right The Job Offer Take your time Salary oCheck out surveys oTalk to recruiters oScan job postings oAsk friends and associates.

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