Monthly Archives: May 2016
Graduation is here! For young adults going off to college or starting a career, it can be an exciting new beginning. Here are some things to take into consideration as you start life in a new area.
- Moving expenses: If your friends won’t do it for the price of a couple of pizzas, consider hiring some help or renting a moving van. Pack the essentials and sell unnecessary items on apps like OfferUp or Letgo. You may need to budget for storage in monthly expenses.
- Security deposit: Most landlords require a security deposit, which is held as protection against damages to the premises or unpaid rent. This is usually required upfront with your first month’s rent.
- Rent: If the rent is due by the first, always pay before the due date or on-time. Being a good tenant today will help you rent another place in the future. The last thing you want is to establish a bad relationship with your landlord – the very person you will turn to for a glowing rental history reference.
- Utilities: Cable, Internet access, garbage, gas, electric, and water. You will soon understand why your parents were always telling you to turn the lights off when you leave the room. Cell phone bill? Consider switching to a family plan to help you save. If not, budget accordingly. You may not need all that data after all.
- Furniture and appliances: Most rentals don’t come furnished. Depending on the room, you may have to buy a few key items to be somewhat comfortable-
- Bedroom – bed, mattress, linens, pillows, dresser, rugs, lamp
- Living room – sofa, chairs, coffee table, television, DVD player, stereo, lamps, rugs, pictures
- Kitchen – table, utensils, dishes, cookware, microwave, cleaning supplies
- Bathroom – hair dryer, shower curtain, bath mat
Sharing your home with roommates? Establish how the bills will be paid from the beginning. You may be able to split some. Another option is for one of you to act as money manager and collect from the others. However you arrange it, if the accounts are in your name, know that you are responsible for sending the complete payment in on time.
It is extremely important to pay all bills on time. If you don’t, you’ll probably be charged late payment fees, and if left unpaid, they will go to a collection agency. Dealing with collectors is not only highly unpleasant, but the negative effect on your credit report is severe. If you default on some, such as utilities, you may not be able to turn them on again until they’re paid (and even then it can be difficult).
Enjoy this time of your life and make the most of any situation.