I complain about adulting A LOT. I complain about the amount of money that is taken out of my paychecks, not knowing how to file taxes, paying my student loan bill each month, and just about everything else that has to do with being independent since graduating from college. But this time, I think I'm finally doing something right.
Insurance Set Up: Check
If you can, I suggest setting up your healthcare with your job if they offer it. Sure, more money comes out of your paycheck every month or every time you get paid, but it definitely beats having to pay a penalty for not having healthcare by the time tax season comes around. That's right. The government penalizes you for not having healthcare during the year. They charge you for each month you are not covered. Either way, you have to pay money. So you may as well get covered, right?
Illinois also has Medicaid and Medicare if you can't afford the coverages under the Affordable Care Act. If you make under a certain amount of money per year, you're almost guaranteed free coverage (including $0 copay at the doctor's office and for prescriptions).
Retirement Fund: Check
I thought signing up for retirement would be a BREEZE. All I thought I had to do was fill out an application and say "I would like to set up my retirement fund," and then money would magically be taken out of my paychecks and put into my retirement fund. Unfortunately, that was not the case.
Fortunately though, my job offers a retirement match up to 3% (and if your job offers matching, make sure you put in up to whatever they will match into your retirement fund; it sucks to have less money, but your future self will thank you). After I filled out my paper application, I had to do an online application which was even more difficult. I didn't know anything about investments, dividends, and portfolios--which are what you have to choose in order to actually build your retirement fund. At the end of the day, I chose the most basic plan, which divides up your investments across your entire portfolio based on your age and when you'll retire. I'd suggest this if you're new to retirement plans and aren't sure which portfolio to choose.
Second Job: Check
Yep, I got a second job. This time, it's more aligned with what I want to do in my career. I don't want to say too much about my job, but I'm the company's Digital Marketing Strategist. I set up content calendars for their social media platforms, write blog posts, analyze their social media analytics, create a clear message on their website, and help them with their SEO (Search Engine Optimization).
I only work around 3-5 hours per week, and I'm an Independent Contractor (which means I have to deduct taxes from my paycheck--yikes), but it's extra money I can put toward my savings account or student loans. Also, this is giving me the perfect experience I need in order to build my portfolio and hopefully negotiate a higher salary in my future job endeavors.
Taxes Filed on My Own: Check
I filed my taxes by myself for the first time using Turbo Tax. If you didn't know, Turbo Tax is offering their services for FREE. Well, their basic services at least. That means they're not charging you to file your taxes at all. Since I don't own a business and haven't started paying money toward my retirement fund yet, the basic package suited me best. And, filing taxes online was a lot less menacing than I thought it would be. All I did was follow the instructions, fill out the missing parts, and I was done.
Of course, I would recommend having all of your documents out while you file. You'll need your 2016 tax return (to prove it's actually you who is filing your taxes), your drivers' license or state ID (for identification purposes), any documents stating your insurance coverage for the past year, student loan or tuition documents, and all of your W-2 forms. If you're missing any of these documents or forms of identification, it might be best just to have someone else file your taxes for you.
Also, don't forget to print out your tax returns for your records!
Credit Score on Fleek: CHECK
I didn't really care about my credit score until my junior or sophomore year of college. However, I knew that in order to borrow money for a house, car, or some other larger expense, I would need good credit. So, I signed up for a Discover student credit card just to build my credit over time and have something I can easily pay off each month. Also, Discover allows you to check your credit score for free online and in their app. They also include your score on your monthly statements.
Not only did my credit score gradually increase over the years, but I didn't have to switch over to a different card after I graduated. They automatically change your status from student to graduate, so you can reap the full benefits of having a regular credit card. Plus, I get cash back rewards, so that's pretty amazing, too.
2018 started off extremely rocky, but I'm slowly getting the hang of being in the "real world." If you need some help adjusting to the "real world" after graduating (or you just want some help in general), here are some resources to help you adult this year:
My journey from then to now was not easy, but if you need help, there's nothing wrong with asking for it. If you have any questions or would like some advice, contact me so we can set something up.
With Love,
The Wrighter
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