Graduating is an exciting milestone, but it often comes with the challenges of job hunting, handling rejection, and navigating the responsibilities of adulthood. The transition can be overwhelming, but smart financial decisions now can set the foundation for future success. Here’s some practical money advice tailored for new graduates.
Prepare your online profile: When last did you Google yourself? Your online presence holds significant influence, so ensure it leaves a strong impression. Review the privacy settings on your Facebook and Instagram accounts, and scan your X feed for professionalism. If you haven’t already, create a LinkedIn profile and begin building meaningful connections for your career.
Set up your online CV: Platforms like jobportal.co.za and leafly.com enable you to create an accessible online CV, making it easier for employers to discover your talent. Invest time in crafting a compelling CV that highlights your unique skills and professional strengths.
Don’t sit around waiting for a job: Job-hunting can be challenging, with rejection taking an emotional toll. Success requires resilience, resourcefulness, and determination. While pursuing job opportunities, consider exploring a side hustle to generate additional income and develop valuable skills for your future career.
Practice being interviewed: To ease interview nerves, practice beforehand. Ask a parent, mentor, lecturer, or trusted family friend to conduct a mock interview with you. This will help you anticipate common questions, refine your responses, and build confidence in delivering concise and thoughtful answers. Preparation is key to making a great impression.
Develop an introductory email: When sending your CV to a prospective company, include a concise, compelling introduction in the email body to capture attention. Ensure your grammar and punctuation are flawless, creating a professional impression that encourages the recipient to review your CV.
Get mobile: If you don’t have a driver’s license yet, make it a priority. Many employers value employees who are independently mobile, and not having a license could limit your job opportunities. Before buying a car, carefully crunch the numbers. Depending on your location, work commute, and travel needs, using e-hailing services might be more cost-effective. Save the difference to build a fund, enabling you to pay cash for a car later. This approach ensures financial flexibility while meeting your immediate transportation needs responsibly.
Further your education while still young: If you are contemplating studying further, bear in mind that it is easier to do this while you are young, unmarried and do not have financial dependants. Whether you choose to do so full-time or part-time, consider doing it sooner rather than later.
Register as a taxpayer: When you register for SARS eFiling for the first time and you do not have a tax reference number, SARS will automatically register you and issue a tax reference number. You must have a valid South African ID to register for eFiling. You can also register for SARS eFiling on the SARS MobiApp and follow the same steps.
Check your medical aid: Depending on the rules of the medical scheme, you may be required to move off your parents’ medical aid. If this is the case, do not allow your membership to lapse and ensure a smooth transition onto your own medical scheme.
Understand the repayments on your student loan: If you used a student loan to fund your studies, review the repayment terms carefully. Ensure you pay the correct amount on time each month, as timely repayments are crucial for maintaining a positive credit record for the future.
Keep copies of important documentation: Keep copies of all your important documents, including secondary and tertiary qualifications, references, ID, passwords, driver’s license, awards, certificates, and additional courses. Whenever possible, store certified copies and high-quality colour scans of each for easy access.
Get as many references as possible: Don’t hesitate to request a reference if you’ve worked for someone. Whether as a waitron, au pair, babysitter, or receptionist, ask for a written reference to keep on file. It’s a valuable addition to your professional portfolio.
Have an account or utility bill in your own name: When applying for vehicle financing, opening a bank account, or obtaining a credit card, you’ll need to provide proof of address. Make sure you have an account—whether bank, utility, cell phone, or investment—that clearly displays your name and address. This will streamline the process
Manage your bank account well: Managing your bank account responsibly is crucial, as it impacts your future ability to apply for credit or financing. When purchasing a vehicle, renting property, or applying for a credit card, you’ll typically need to provide three months’ worth of bank statements as part of the application process.
Sign a living will: Tragedies can occur unexpectedly, and one of the most thoughtful things you can do for your loved ones is to have a living will. It outlines your wishes regarding medical care if you’re kept alive artificially with no hope of recovery. Additionally, register as an organ donor and inform your family of your decision.
Higher-paying jobs aren’t always the best: While a high-paying offer may be tempting, don’t let money be your sole deciding factor. Different jobs offer various growth and earning potential over time, so focus on long-term benefits. Research the company’s values, work culture, and how it treats its employees. Examine its customer service reputation and online reviews. Inquire about growth opportunities, training, career development, and the company’s social and environmental impact. Ask about leave policies, work hours, and how the company contributes to the community. Make an informed, holistic decision.
Compare job offers and learn to negotiate: When you receive a job offer, request it in writing and conduct thorough research. Understand your value and assess whether the offer is fair and market-related. If it’s not, learn how to negotiate respectfully and professionally to secure a better deal.
Understand employee benefits and what they mean for you: Clarify the total cost-to-company value by reviewing included employee benefits. Ensure the offer covers medical aid, travel and cell phone allowances, retirement funding, and overtime pay for a comprehensive understanding.
Set up a savings account and automate it: Start by saving even R100 per month. Set up a debit order to a savings account and develop the habit of saving consistently. Remember, saving is a discipline that pays off over time.
Create an emergency fund: Set up a separate account specifically for emergencies. This will provide quick access to funds when needed and help you avoid borrowing money in the event of an unexpected large expense, ensuring financial stability during challenging times.
Have a fantastic day!
Sue
