Helping Your Graduates Thrive Financially

April is Financial Literacy Month: a perfect moment to pause, reflect, and pass on the kind of wisdom that goes well beyond the classroom.

Many of you have already taken steps to secure your children’s financial futures, whether it’s by setting up 529 plans, opening custodial Roth IRAs, or simply making money management a regular dinner-table topic.

But as graduation season approaches, there’s an opportunity to lean in again. Whether they’re headed off to college or starting their first job, your children and grandchildren are about to enter a new phase of independence.

This transition is the perfect time to reinforce good habits and introduce next-level skills. Here’s how you can help guide them forward:

Make Budgeting Feel Like Freedom, Not Restriction

Most young adults think of budgeting as limiting. However, reframing it as intentional spending can help. Encourage them to track income and expenses for just one month to see where their money really goes. Tools like Mint, YNAB, or even a simple spreadsheet make it easier.[i] The goal isn’t to restrict them; it’s to align their spending habits with their overall values and goals.

Open the Door to Investing Early

If you haven’t already, consider helping them open a Roth IRA or brokerage account. Time is their greatest asset, and even small, consistent contributions can snowball thanks to compound interest. Keep it simple: talk about index funds, diversification, and how long-term investing means ignoring the noise.[ii]

Pro Tip: Use analogies that click: stocks as “tiny ownership pieces” in companies they love, bonds as “IOUs with interest.” Hands-on tools like investment simulators or even paper-trading apps can spark confidence.

Talk About Credit Before They Swipe

Many young adults get their first credit card in college or right after graduation. Help them understand the importance of building credit the smart way: pay on time, keep balances low, and check credit reports regularly. A strong credit score isn’t just about buying a car; it can impact everything from job offers to rental applications.

Normalize Conversations Around Debt

If student loans are part of the equation, walk through their repayment plan together. Help them understand the difference between subsidized and unsubsidized loans, and the impact of interest accrual. Encourage them to pay more than the minimum when possible, or to refinance if their situation allows.

And if your graduates would like a deeper dive into student loan repayment options, our partners at Student Loan Professor can help. They offer a complimentary Student Loan Suitability Analysis to help determine whether refinancing makes sense based on your graduate’s career path, income potential, and overall financial goals. This is a pressure-free way to explore options and avoid costly missteps, especially for those navigating grace periods, federal loan nuances, or private loan terms. Just let us know, and we’ll make the introduction.

Keep Financial Education Going

Your kids may have inherited your drive, but not necessarily your financial savvy. Point them toward books, podcasts, or blogs that speak their language (The Psychology of Money by Morgan Housel, or I Will Teach You to Be Rich by Ramit Sethi are great starting points.) You can even make it a shared experience by reading together or chatting about what you’ve learned over coffee.

Small Steps Today Create Major Confidence Tomorrow

Whether your child is shopping for a new futon or just filed their first W-2, this is an ideal moment to plant seeds that will shape how they think about money for life.

And if you’d like help starting that conversation, or sharing age-appropriate financial literacy resources, we’re here to support you and your family every step of the way.

Because at Larson, we believe financial empowerment doesn’t stop with our clients. It extends to the next generation of leaders, dreamers, and decision-makers. Let’s make sure they’re equipped to thrive.

[i] https://www.investopedia.com/top-7-finance-tips-for-new-grads-5248426

[ii] https://www.investopedia.com/10-investing-concepts-beginners-need-to-learn-5219500

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