How To Survive In The City On An Entry-Level Salary

The following is a guest post from the Studenomist at http://studenomics.com. Check out his blog and consider subscribing to his RSS feed.

You obtained a post-secondary education so that you could be rich and life would be perfect. There is nothing wrong with that statement but the truth of the matter is that it takes time and tons of dedication to become financially independent, especially in this economy. As a result many young people who are just graduating from College are having a difficult time adjusting to life on an entry level salary.

The first step is acceptance. That’s right, one day you may be rich (or at least well off) but at the time being you are making an entry level salary which is tight, especially living in a major city. You are working your way up the ladder with an end goal of a certain salary and position. This is very respectable, the issue here is that staying out of debt during this process seems to be very difficult for many young people these days. The point of this article is to provide crucial guidelines on how you can survive on an entry level salary in a major city.

A How-to Guide: Realistic Approach

1. Take transit. It doesn’t matter what city you live in, chances are there is public transit that is easily accessible and could take you anywhere within the city. I know that this is not the “coolest” way to get around town but don’t worry the nice car will come in time. For the next few years your focus should be on your career not the drive to work.

2. Live at home, but you probably will not listen. The most obvious piece of advice is to live at home, but if you agree to take transit then chances are you will not agree to live at home. If you absolutely refuse to live at home then please be financially conscious when you decide on your living conditions. Consider living with some friends, living close to work or renting in an inexpensive area.

3. Party like a student (not a rock star). I know it would be very difficult, if not impossible to convince people in their 20s to not party because let’s be honest, most people will party. When you do party keep in mind that you are not rich, there is nothing wrong with having a good time with friends but there is no need to blow a large portion of your pay check on weekend drinking. When you do go drinking on the weekends then consider going to bars with cheaper drinks, hanging out at a friend’s place, or any other creative alternative that you could think of. Ask yourself, do you really need to get bottle service at the newest night club in town?

4. Live like a student. Think of some of the cutbacks you had to make in school and then try repeating them. Whether this means eating out less, making your own food, not buying the fanciest clothing, or cutting back on non-necessities in general. Pretend you are still a student minus all of the stress involved with exams.

5. Shop online/find deals. There are many websites out there that provide updates on the newest deals available or on sales in your area. Take advantage of these resources. You do need to be the first person with the newest accessory nor do you ever need to purchase anything right away. You should always take some time to research any major purchase before you go through with it.

6. Open a savings account. Even if you do earn enough money to allocate a lot into savings, then try putting anything into savings even the smallest amount. Even an amount as small as $20 a week will add up to $1000 by the end of the year. The trick is to start small and then slowly build your way up.

7. Make it automatic. It is easier said than done when it comes to saving so this is why a young person with little discipline should consider setting up an automatic withdrawal plan. This way you will never even see the money, it will come straight off your pay check into your bank account.

Studenomics is the ultimate resource for young people in today’s society, where decisions that will impact the rest of your life are difficult to make. Young people are often misguided when it comes to managing their finances and their career. Student debt is reaching amounts almost impossible to pay off and people in their 20s grow older with minimal savings. Studenomics is here to show everyone that by applying a few key concepts you could set yourself on the path to financial independence. Please check out my blog and read the great material.