More Bang for Your Buck: Financial Freedom

(WSVN) -- Here's to the class of 2004...

Welcome to the real world.

Say goodbye to that slush fund compliments of mom and dad.

Starting this summer, you are on your own.

Courtney Berman: "I didn't have to do anything. They paid for gas for my car. They paid for everything."

Courtney Berman knows the routine. When she graduated from college, she was forced to learn how to support herself.

Courtney: "I was pretty nervous about it actually."

Financial advisor Kathy Day of the Enrichment Group knows nerves are natural.

But she says this is one test college grads need to ace.

Kathy: "I think that's the point where independence needs to really be primary."

So let's see if you at home has what it takes to be a master at money management. With Kathy's help, we have put together a little quiz.

Question one:

How many credit cards should a college grad have? 1,3,5,or 10.

The answer...

Kathy: "You need to have a credit card, one credit card. You choose the credit card that has the rewards you like the best."

Next question, with that credit card, what should you buy... Brand new furniture or used furniture?

Answer...used furniture.

Kathy: "The fact is in the long run the people who are a little more fugal when they start are the ones who are going to have the better life later."

Speaking of value...

At your first job, when should you join the 401K plan? Right away ...Or wait a few years until you become financially stable.

Answer: Join the sooner, the better.

Kathy: "If you can put three percent in and have your company match it that's a hundred percent return in the first year."

But how much money should you have in your saving account now? The minimum balance or your entire paycheck?

Answer: How about somewhere in the middle.

Kathy: "In your emergency and your accumulation fund until you have enough money to that you feel like you could live for 6 months without a job."

Okay, times up, pencils down.

Courtney was a quick study at this test. She gets an "A."

Not only is she prepared, she's created a monthly budget and is sticking to it.

Courtney: "When I get a bill in, I'm ready to pay it off. I don't look at the date when you have to pay it off because it's three weeks later."

Another tip, if you're considering investing in real estate make sure it's a place where you'd like to live for at least five to ten years.

FOR MORE INFORMATION:

Contact: lmartinez@wsvn.com

Kathy Day

The Enrichment Group

7355 SW 87th Ave.

Suite 300

Miami, FL

305 274-1600