7 Things High School Graduates Need to Do This Summer

LOS ANGELES - June 1, 2016 - PRLog -- Financial education speaker Shay Olivarria, author of 10 Things College Students Need to Know About Money, reveals seven financial things high school graduates must do this summer.

Check Your Credit Report
The government has passed a law that makes our credit reports available once a year for free from www.AnnualCreditReport.com. This is the only site that will provide a copy of your credit report at no cost to you, from each of the "Big 3", once a year. You will not get your credit scores though; scores are computed through separate companies. Tip: Nothing in life is free. Any company offering you a free credit report and/or score is more than likely trying to sell you a monthly credit monitoring service. Read the fine print.

Figure Out How Much College Will Cost
Whatever college you choose, it's important that you understand how much the total cost of your degree will be. Consider the costs of tuition, books, dorm fees, and any other monies you'll have to pay. Apply for as many scholarships and grants as possible because you don't have to pay those back. When you take out loans not only will you have to pay the money back, you'll have to pay it back with interest. Tip: Look for opportunities to make small financial changes that make a big difference. Buying used textbooks can save you hundreds over four years.

Consider the Return on Investment
You are going to make some decisions in the next year or two that will be the foundation for your life. Don't make decisions based on your emotions or what your friends are doing; look at the return on investment.You must consider the return on investment with any purchase and paying for college is a big one. Tip: If you're undecided about a purchase, sleep on it. Never make a decision in a hurry.

Create a Spending Plan
Writing things down is good. I'm sure you have a general idea of how much money you're expecting from jobs, financial aid, etc., but unless you have a written plan to spend it the money will pass through your account and you'll have no idea what happened to it. Research studies have proved that writing down your goals makes it easier to achieve them. Knowing how much money you want to spend in each category will help you stay on track. Tip: making the plan before you actually have the money is the key to putting the spending plan into action.

Move Your Money
Visit www.aSmarterChoice.org to find a credit union in your area. Credit unions are financial institutions that offer the same products and services as traditional banks, but they are not-for-profit. The only purpose of credit unions is to serve the community; each credit union member loans money to the other members so loan interest rates are usually lower than a bank. Moving your checking and savings account to a credit union could potentially save you thousands of dollars over your lifetime. Tip: Search for a financial institution that is a good fit for you, don't just choose whatever your parents have.

Start an Emergency Fund
Ever heard of Murphy's Law? It states, "Anything that can go wrong, will go wrong". It's up to you to make sure that you have at least $500 in an Emergency Fund at your credit union or bank because there will always be something that you need money for unexpectedly. Start by opening a money market account at your credit union or bank and then add $20 a week to the account until you have at least $500. Tip: Don't touch it unless it really is an emergency.

Open a Retirement Account
Did you know that investing $5 a day will make you a millionaire by retirement? You read that correctly, investing just $5 a day in an average performing mutual fund account that returns 9% a year (industry average is 10%) will put $1.3 million in your pocket. The process is as easy as filling out a one page application and sending in your credit union or bank checking account information. A fee-only advisor can help you find the right kind of account for you. The second step is to commit to adding at least $50 a month to the account. The third step is to watch your account become fatter every month. Tip: Set up the account so that the money is added to the retirement account automatically every month from your checking account. Add at least $150 per month to reach that million with no sweat.

To get more financial education tips, visit http://www.BiggerThanYourBlock.com.