re: Financial plan for recent graduate

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Dallas, 50K, may be getting engaged within the next year

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With similar situation in two years out of school debt (less than yours though), paid for good engagement ring, saving a lot for housing downpayment, saved for planned honeymoon and afford a new car (accident )

I eat out 1-2x/week with fiance, go on some vacations and fund my tailgate. Despite my "shoestring" budget, nobody would think that cause I did the following (car after 1 yr)

-Get YNAB app/program (YouneedABudget)
This is probably one of the best budget tools out there if you use it correctly and helps a new person who doesn't really know what their budget will look like be good

Get a cheaper phone plan
Having worked for a cell carrier in school, I realized that living in a major metro like Dallas, you have a ton of options. A carrier like TMobile made cost value assessment and built their service for major metro areas and not in the boonies. So a place like Dallas will have great service. I get unlimited 4GLTE with Tmobile for 50$+tax a month. Is no unlimited and an extra $40 worth waiting an extra 5 seconds to FAP?

Start saving every month for big one time expenses: Car/Renters insurance, car tires/repairs, birthday gifts etc
What will absolutely mess with your savings/budget is if you don't include infrequent /non monthly expenses. Once you get behind because of these, it affects all future months.


-Don't buy a Car
Almost everyone you graduate with who got a job will do it. In 5-10 years when you are financially stable, these will be the people who complain about money. Understand that driving an avg/crummy car when 22 with a fiance is expected and you will be glad when driving nice cars at 35 with no payments

-Only eat out/entertainment when you get a deal
It is absurd to "always eat at home" in your 20s. Just be smart and suggest places with specials/deals/coupons for friends. Big cities like Dallas have thriving Groupon/LivingSocial/Amazon Local deals for cool things. For example, my local newspaper does $25for$50 at local upscale restaurants which is where fiance+me go on dates

-Learn to cook at home for cheap
When you cook at home, look for easy cheap recipes that repurpose food. A ton of people throw away food, buy a million spices or foods with expensive ingredients. Ton of websites out there that will have you eating delicious food for $2.00 or less/meal

Cut the cord on cable
You can save about $30-35/month by cutting out TV and replacing with Roku. Not only are you likely to live a more active lifestyle building good habits, you will learn that you won't miss it in the slightest

Don't buy expensive furniture
You likely won't end up in the place you are living in out of college long term. Save that for when you are buying for your actual long term living situation