As high school seniors prepare to step into adulthood, financial independence is one of the most critical skills they can develop. Whether heading to college, trade school, or straight into the workforce, understanding how to manage money lays the groundwork for future success. Here’s a checklist to help seniors build a strong financial foundation before graduation.
1. Understand the basics of budgeting
A budget is the backbone of financial health. Seniors should:
- Track income (allowance, part-time job, or financial gifts)
- Identify essential expenses (food, transportation, phone bills)
- Allocate savings for future goals
- Practice making spending decisions based on needs vs. wants
2. Open and manage a bank account
Managing a checking and savings account is a fundamental skill. Before graduation, seniors should:
- Open a checking account with online banking access
- Learn how to deposit checks, set up direct deposits, and manage transactions
- Understand overdraft fees and how to avoid them
- Establish savings habits by setting aside a portion of any income
3. Build good credit habits
Credit will play a significant role in future financial opportunities. To start strong, seniors should:
- Learn how credit scores work and what affects them
- If appropriate, consider a secured credit card or authorized user status on a parent’s card
- Understand the importance of paying bills on time and in full
- Avoid unnecessary debt and credit card overspending
4. Explore post-graduation financial responsibilities
Regardless of the next step after high school, seniors should understand potential financial obligations, including:
- Student loans: Research interest rates, repayment options, and responsible borrowing
- Rent and utilities: Learn how to budget for housing expenses if moving out
- Transportation: Understand the costs of car ownership, insurance, or public transportation
5. Start saving for the future
It’s never too early to build savings. Seniors should:
- Set up an emergency fund with at least $500 to cover unexpected expenses
- Learn about compound interest and long-term savings options
- Open an investment account, like a Roth IRA, for future wealth-building
6. Utilize Money Path
SecureFutures’ Money Path is a powerful tool that can help seniors put this entire checklist into action – and it’s free to all Wisconsin high schools! With Money Path, students can:
- Compare different career paths
- Project future earnings
- Create realistic budgets based on their plans after high school
- Evaluate college costs
- Explore skilled trades
- Understand how student loans will impact their financial future
Graduation marks the beginning of an exciting new chapter. By using Money Path, seniors can take charge of their financial decisions and ensure they’re setting themselves up for long-term success. A strong financial foundation today leads students to financial freedom tomorrow, and Money Path is just the tool to help get them there. Bring this essential tool to your school at no cost or schedule a 15-minute live demo today!