One of my favorite clients requested I write her 16 year old son a few sound financial advice. I said absolutely, here we go:
| 1. Start building your credit score early – Go to your bank and request a secured credit card. The bank will require that you deposit some money $50 – $500 in your credit card account. They will allow you to spend that money on whatever you want, but you will need to re-pay it back to your credit card account. Every time you pay on time, your credit score increases. The longer you have a credit card, your credit score increases. – The bank will observe your money management and repayment habits, after some time they will give you an unsecured credit card to buy small – food, shoes and big things – car, house. – Lastly, never close a credit card account, this will decrease your credit score. Live it inactive. 2. Learn how to apply for college scholarships early – Student loan is one of the worst type of loans in America. Therefore, study and pass the SAT exam, learn how to apply for scholarships online and choose where and what you want to study at the University very wisely. Here is a good place to start: A. School based scholarships – search for dean and departmental scholarships too B. https://www.uncf.org/ C. https://thescholarshipsystem.com/blog-for-students-families/the-ultimate-list-of-scholarships-for-women-and-girls/?fbclid=IwAR04C73A_dRxRhLGAj2Bz2KwXkdlDzqQ2kpbT2boCYBOMBfuoK6cUyip1Yk D. https://thescholarshipsystem.com/?fbclid=IwAR0QZp_gdMWAmb8gx1FvuopaqEMawxo_-NLExPHzGTHY12BZRpTHRZwAJ38 E. https://www.blackscholarships.org/2018/09/apple-40-million-hbcu-scholarship-program-summer-internship.html?m=1&fbclid=IwAR3-UNYeosqONnRJd9ZcTk3JztRKwhgckLYM8lMoMnq9-5MY7_nyrdJDurc F. Also this app to search and apply: https://myscholly.com/ 3. Join the military and enjoy great benefits – If you decide to join the military, you will benefit from free university (paid tuition and fees), subsidized housing, great credit banking, get US citizenship quickly, great pay, a lot of travel and work out.Learn the 5 branches of the military and identify your best fit. Most people desire to join the air force – it’s more competitive and offer additional benefits. 4. Congrats on your first job in America – I life-guarded my college years with the City of Atlanta via American Pool. Swimming is a lifetime skill and I am so proud of you for enjoying and working in the swimming pool.Swim instructors, lifeguards, pool technician are among the most fun and easiest part time jobs in America. – As you grow older though, look into professional corporate or medical internships. – During job applications, ensure you elect to allow the state and federal government to take out/withhold taxes from your paycheck.The government needs the money pay for security – military, to provide good health care, to construct roads and highways, for public education, to maintain public parks and pools etc. 5. Learn how to invest in stocks – One of the ways to wisely use your tax refund is to trade in stocks and double your money.There is a phone app called Robin Hood, download it and learn how to research, buy and sell stocks. 6. Invest in savings, health and retirement accounts – At this point learn how to save some money in a savings or emergency account for a rainy day. – As you grow older and get more and better paying jobs, invest in health savings and retirement account. 7. Learn and earn – In America the more you learn. – graduate high school, get a bachelor’s degree, get a masters, get a doctorate the more you earn.Continue hanging out with good friends, continue being a fast learner, and get trained on the job as you earn, save, invest and spend your hard earned money wisely. If your tax professional doesn’t provide you with tax recommendations, financial planning and analysis services, you need to switch to CaroKim Consulting LLC. |
CaroKim Consulting LLC 