Author and radio host Dave Ramsey has some words of praise for new college graduates of 2023.
He also offers some straight talk, advising them to make smart decisions about financial situations often associated with graduation.
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In an exclusive interview, Ramsey discussed his thoughts on the subject with Sara Silverstein, Editor-in-Chief for TheStreet (video above).
"As we head into the end of the school year, what advice do you have for college grads when it comes to managing their finances?" Silverstein asked.
Ramsey first provided some extraordinarily complimentary words about the current crop of young people entering the workforce.
"You know, this next batch of college grads, and the last two or three batches, are some of the best we've ever seen," Ramsey said. "This particular generation is very serious about their money -- the ones that are responsible and plugged in anyway. And so they've got a lot of opportunity in front of them and they realize it."
He suggested graduates remember to be mindful and pay particular attention to financial details.
"Number one, be very intentional," he said. "Obviously, lay out the standard budget, have a game plan. Big mistakes that college grads make? They immediately feel like they need to go buy a new car in the first six months, like to celebrate graduation or to reward myself for graduating."
"You don't deserve that reward," Ramsey bluntly said. "You don't need a car payment. Let's stay with the hoopty."
Ramsey explained how his advice is generally geared toward keeping people grounded as to what they can practically afford.
"We keep your lifestyle down," he said. "And the second mistake that kind of goes in concert with that is they tend to kick the student loans if they've got them, kick the can down on down the road away. Don't do that. Go ahead and attack that student loan with a vengeance. Drive the hoopty to keep living like a college student."
"Get yourself clear so that you can take that great new income you've got and build wealth," Ramsey said.
TheStreet
Grads Face an Uncertain Environment
For sure, some new graduates are a little apprehensive about the job market. Many of the biggest tech companies, for example, in the U.S., have frequently announced layoffs since the beginning of 2022.
Some desirable places to land jobs have been cutting them recently, including tech giants such as Apple (AAPL), Google (GOOGL), Amazon AMZN, Microsoft (MSFT) and Meta (META).
The personal finance personality owns a business headquartered near Nashville called Ramsey Solutions, where his team of experts offer advice on various topics related to financial planning.
"First off, take a deep breath," Ramsey Solutions wrote. "You're going to find a job. Are you going to hop right into your dream position right out of college? Probably not. But you’re going to find a job. Relax."
"You might have to contact 30 companies," it continued. "You might have to start out at an entry-level, 'gofer' position -- getting coffee, running errands, making copies, organizing files. But your primary goal should be to get your foot in the door."
Ramsey Solutions also offers the following piece of advice for graduates:
But, remember, you’re probably not going to find your dream job right out of college. You might have to suck up your pride. If you have a degree in business management and you want to work in human resources, then you should probably expect to start out at the bottom of an HR department -- if you start in the HR department at all. Sometimes it may help you just to get in at a company with a good HR department, taking a job doing something else until an HR position opens.
The average job for the average worker in America is only 2.1 years in length. For workers in their twenties, that timeframe is even shorter. Whether you love or hate your first job out of college, keep in mind that it probably isn’t forever. Continue learning and making yourself a valuable team member, and you’ll succeed at whatever you do.
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