Five finance tips for recent college grads

YUMA, Ariz. (KYMA, KECY) - A financial balance is important for recent college graduates as they enter adulthood.

Rebecca Gramuglia, a personal finance expert at topcashback.com, has five tips for recent college graduates to better budget their money.

The first tip is building credit. She says creditworthiness is factored in when opening a credit card or buying a car.

Second is finding a good balance for budgeting income in terms of essential, debt, and personal spending.

"The 50/20/30 rule is to use up to 50% of your after-tax income on essentials such as housing, food; up to 20% on any financial priorities such as savings or debt repayments; and up to 30% on any lifestyle choices," Gramuglia said.

Maiely Gonzalez is a California State University, Chico graduate, and resident of Calexico. She believes colleges should help students be more prepared financially.

"College should have like a specific class to teach every single student about like credit and their savings because there's a lot of people who don't know anything about it, and I only know because I did my own research," Gonzalez said.

The third tip is starting an emergency savings account. This is especially crucial during a time like the coronavirus pandemic with the possibility of getting laid off.

When spending money, it's important to comparison shop to see if there are better price options.

Gremuglia says not to be easily influenced by social media spending habits.

"Don't get distracted," Gremuglia said. "There's no need to spend all your money on the coolest phone or the coolest sneakers."

More tips can be found at topcashback.com.