Congratulations! You have graduated, after all these years you can finally call yourself a graduate student. In fact, real-life is only just beginning, you will stand more on your own feet and hopefully generate a steady income. So before you run out of spending budget or borrow unnecessarily from quick loan lenders, we are happy to give you our tips to make good financial planning.

8 Things You Should Invest In When You Graduate College

1. Make a budget overview after you graduate

First and foremost we advise you to make a clear overview of the cash flows that flow in and out. The period of receiving weekly or monthly pocket money from the parents has unfortunately ended and now you will have to pay more attention to your expenses once you have graduated. It is important to put some money aside for any emergencies.

In addition, you must take the following into account. After you graduate, you will continue as a non-student / starter and you will have to pay higher rents in a large city and pay more for public transport. Your meals will probably be more expensive than in the beloved student restaurant and you will see many other discounts pass you by (such as printed matter, laptop, hostels, sights, etc.). If you still have debts from during your student years, try to pay them back as quickly as possible.

2. Consider your pension

Retiring may seem like a long way off if you are just starting work, but the sooner you start saving for this, the better.

There are 3 types or pillars of pensions in Belgium. The first pillar is the statutory pension that is provided by the government as a basis for preventing poverty among the elderly. The supplementary pension is then paid on top of the statutory pension. This is built up by your employer while you work. Finally, you can save for an individually accrued pension, on the one hand by saving on your pension and thus qualifying for a tax benefit of 30% (+ municipal tax), and on the other by, for example, investing your money in a diversified way on the stock market (through investment funds) and in this way build up a good return.

If you choose to open a pension savings account with a bank, you transfer an amount each year to the bank’s pension fund, which then invests in shares and bonds. If you opt for a pension savings insurance with an insurance company, you will receive a guaranteed minimum return and possibly a profit bonus if the investment results of the insurer turn out well.

3. Request a new credit card

Whereas in the past you were only eligible for a specific credit card for young people or a credit card that your parents guaranteed, it is now possible to obtain a full credit card on your own with possibly more benefits, insurance or guarantees. However, you can still use most cards in the first years of your career. From the moment you reach a certain age, extra costs are often charged.

The range of credit cards is still unknown to many young people. There are, however, different types of credit cards that can offer a range of benefits. You can use our comparison tool for free to find out which card suits you best. As with any financial product, it is very important to carefully check the conditions of each card.

It is certain that many changes will occur when you have just graduated and started working, but you must prepare yourself well and prepare a clear plan. This way you can fully focus on your first job and sleep on both ears!