1. How much would you spend on a car?
2. How much would you keep saved up in your bank for your future?
3. How much would you have fun with and what you spend it on? Strip Clubs? Night Dance Clubs? Music CDs? Movie DVDs? Girls? Beer? Going to the movies? Nice-looking Clothes? Some partying? Stuff off Ebay? Red Lobster? A big boombox? And anything else you could get at the mall that I left out?
2007-05-24 09:49:28 · 7 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
You should save it and spend it on food and bills. Buy the other stuff when you get some cash flow coming in. If you need a vehicle buy something good but keep enough to get you through school.
2007-05-24 09:53:56 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Very good question. First of all congrats on actually saving money in college. That is commendable. All these questions are from my perspective 4 years removed from college. If I were still in college my answer would be spend it all on number 3! Anyway -
1. If I needed a car, I would pay cash and buy something under $5,000. You can find a great car that you can be comfortable driving and that you can get a lot of years out of.
2. For now, I would put at least $2,000 into a ROTH IRA. It's a great thing to get started on now. You have to have some source of income to contribute, which I'm assuming you do with 11K saved up. Put the rest that you don't want to use immediately into a high yield savings account like Emigrant Direct. Make that money work for you.
3. Definitely take some of that money and enjoy your last year or two of college. These are the best years of your life and you will miss them. I wasn't very financially wise in college. Maxed out credit cards, etc., but I wouldn't trade my college memories for anything.
So how much you want to spend out of the remaining 4K would be up to you. Personally I would spend most of it on girls and booze.
Good luck!
2007-05-24 17:01:19 · answer #2 · answered by Monstblitz 4 · 0⤊ 0⤋
My answer has changed quite a bit since I was 21. After buying a CHEAP car, I would put about 6 months of expenses in a separate bank account for emergencies. NOTE: If the thought even crosses your mind that something might not be an emergency, it is not an emergency.
hirebookkeeper: There is NO such thing as a cheap lease. Any decent calculator will quickly show that a lease is the MOST expensive way to drive.
Kaska: Your answer is great.
2007-05-24 19:23:33 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
I would keep adding to my savings, so I could use the money for a down payment on a house.I would suggest that you save for about 7 more years.At that time, you will still be young,and own your own home.Buying a home is the best investment anyone can make in they're life.I wish you the best.
2007-05-24 17:03:05 · answer #4 · answered by Gin 3 · 0⤊ 0⤋
Get a cheap lease. Save a minimum three months worth of living expenses. Add up what you spent on items #3 and give yourself an allowance for that junk.
2007-05-24 16:53:54 · answer #5 · answered by hirebookkeeper 6 · 0⤊ 1⤋
1. $1000.00 - 2,000.00 on a used car. If I were also working I would put a down payment on a new car. (Ford Escort etc.) And make payments.
2. $7000.00 In The bank
3. $2000.00 to buy needed items. And a few splurge items (Movies, dinner etc)
2007-05-24 16:56:44 · answer #6 · answered by Anonymous · 1⤊ 0⤋
Thats a good amount for someone your age and in college. be wise, keep it saved!!! Trust me, if you dont you will wish you had in the future.
2007-05-24 17:14:08 · answer #7 · answered by Jukebox 5 · 0⤊ 0⤋