Starting Your Career Off Right

1. Starting Your Career Off Right

2. The Job Offer • Take your time • Salary • Check out surveys • Talk to recruiters • Scan job postings • Ask friends and associates • What can you expect? • Vacation and other perks

3. The Job Offer—Benefits • Insurance • Medical • Prescription drug coverage • Vision • Dental • Disability • Life • Your contributions

4. The Job Offer • Company background • Favorable industry • Your interest • Job duties • Advancement opportunities • Corporate culture • Supervisor

5. Achieving Your Financial Goals

6. Achieving Your Financial Goals • • Set clear goals • • Resolve to spend less • • Create an emergency fund • • Make saving a priority

7. Achieving Your Financial Goals • • Reduce credit card debt • • Evaluate your insurance coverage • • Think taxes

8. Budgeting • • Gross monthly income • • Net income • • Fixed expenses • • Flexible expenses

9. Budgeting • • Discretionary expenses • • Total it up • • Increase your savings • • Programs like Quicken can help

10. Student Loans • The sooner, the better • Grace period • Repayment options • 10 years • Budget • Don’t default

11. Credit Cards • Be aware of teaser rates • Stick with one credit card • Pay in full every month

12. Credit Cards • Pay on time • Avoid cash advances • Protect your credit history

13. Credit Cards • Don’t exceed your credit limit • Review statements carefully • Report lost or stolen cards immediately • Protect personal information

14. Savings and Investing • • Start small • • Contribute to your retirement plan • • Save through payroll deduction plans • • Set up an automatic investment plan • • Round up your mortgage

15. Savings and Investing • • Bank your raises • • Keep paying off a loan • • Pay off your credit cards • • Reinvest dividends • • Keep track of where the money goes

16. Investing for Wealth • • The power of compound interest • • Rule of 72 • 72/2=36 • 72/6=12 • 72/8=9

17. Investing for Wealth • • Planning for wealth • • Make the most of a 401(K)

18. Investing in Your Future • • Asset Allocation • Stocks • Bonds • Cash Equivalents

19. Investing in Your Future • • Asset allocation is ongoing • • Diversification • • Life circumstances • • Investment goals, timeframe and tolerance

20. Investing in Your Future • • Long-Term Investments • Mutual Funds • Stock • Bonds

21. Investing in Your Future • • Retirement Specific Investments • 401(k) • IRA • Social Security

22. Investment Options • Short-Term Investments • CD • Money Market Funds • Savings Account

23. Protecting Your Family Through Insurance • • Life insurance • Choosing coverage • How much can you afford? • How much is needed? • For how long? • Protection or investment?

24. Term vs. Permanent • • Term • Largest death benefit for the dollar • Annual renewable and level premium • Return-of-premium

25. Term vs. Permanent • Permanent • Combines a death benefit with an investment • Part of the premium is invested, building cash value • Higher premiums • Whole life, universal or variable life

26. Term vs. Permanent • • Whole life • • Universal life • • Variable life

27. Health Insurance • • Don’t go bare • •HMOs • • PPOs • • POS

28. Health Insurance • • Flexible Spending Accounts • COBRA • Medicare • Medicaid

29. Long-Term Disability Insurance • • Benefit Amount • Term of Benefits • Elimination Period • Noncancelable • Guaranteed Renewables • Own Occupation or Any Occupation

30. Government-sponsored Disability Benefits • • Workers’ Compensation • Social Security Disability • Veterans Benefits • Federal Employees Retirement System

31. Get Tax Smart • Get credit for care • Make retirement plan contributions • Improve your recordkeeping • Plan your investment gains

32. Get Tax Smart • Give away some assets • Use your vacation home wisely • Get advice early

33. Disaster Preparedness

34. Protect Your Property • Install smoke detectors • Elevate utilities to upper floor • Clear surrounding brush • Secure objects that could fall Adapted from American Red Cross, Financial Preparations

35. Do a Thorough Home Inventory • Record location of all original documents • Make visual record of your possessions • Record model and serial numbers Adapted from American Red Cross, Financial Preparations

36. Do a Thorough Home Inventory • Photograph home exterior • Make copies of receipts • Get professional appraisals Adapted from American Red Cross, Financial Preparations

37. Insurance for Your Home • Replacement coverage • Reappraisals • Replacement cost of possessions • State-operated; Federally operated pools Adapted from American Red Cross, Financial Preparations

38. Insurance if You Rent • Location • Renter’s insurance • Comparison shop Adapted from American Red Cross, Financial Preparations

39. Cash & Personal Belongings • Stash some cash • Emergency fund • Credit card • Evacuation box • Safe deposit box Adapted from American Red Cross, Financial Preparations

40. Do What You Can!

41. More on Natural Disasters • Red Cross • FEMA—www.fema.gov • NEFE—www.nefe.org

42. Thank You!