HOW STUDENTS CAN DEAL WITH A POSSIBLE NATIONWIDE RECESSION
By Allizbeth Clavijo
Public relations student MZ Alzan works a part-time job while attending Fresno State. Many students just like Alzan attend full-time and work part-time jobs. However, for many, there’s never enough money.
“I don’t think I’m fully prepared for a recession, even though I have my rainy day fund. It will not be able to sustain me for a year, which is what you usually need in a recession. I think I need to take more steps to prepare for that,” MZ Alzan said.
Financial experts predict a possible nationwide recession by early 2020. This can hurt businesses, jobs, home buyers and students especially if they are not prepared.
“No, I’m not ready,” said business student Lerardo Lopez. “I have a job, but I don’t think it’ll be enough because I have to pay my bills, rent and just my regular expenses.”
Kolt Kleinsmith, a bulldog financial coach at the Money Management Center, works with students such as Alzan and Lopez. He helps them put their finances in order and gives them tips and advice on their financial struggles.
“If they are struggling with their money, the first tip is to start tracking your money,” Kleinsmith said. “Because if you have a job and you have bills, every month you’ll know where X amount of money is going to. You know I have to pay rent, pay utilities, gas to get to school, have food,” Kleinsmith said.
Kleinsmith suggests we write down our expenses on a sheet of paper or even an app on our mobile devices. He says it’s an easier way to track our spending as well as prioritizing our savings.
Kleinsmith also said that the money management center works with several students who are about to graduate. He says students receive a lot of advice on how to schedule and organize their student loans.
“It’s rare to have a student say they have $3,000 in savings and then have an emergency fund and money invested. Most students we deal with don’t really have an emergency fund. They don’t really know what it’s about.”
Kleinsmith says it’s not too late to start saving money. Saving $5 to $10 a week will eventually grow, and it can help you in the long run.