Money-minded gifts for high school, college graduates

By Steve Rosen, Tribune Content Agency, Kids & Money

Graduation season is in full swing. Do you have a shopping list?

A check and a card are certainly customary and easy, but also a bit boring. Portable speakers, a Keurig or a hot dog cooker for the high school grad who’s going to college? They aren’t what you had in mind either.

Something else to consider: Gifts that might appreciate over time or jumpstart a better financial future. They might provide genuine appreciation from the new grad in the years to come.

Here are four gift-giving ideas with a financial twist that could definitely impact the future well-being of high school and college students in the Class of 2019.

1. Pay for an appointment or two with a fee-only financial planner, which might cost anywhere from $100 to $300 an hour. This could be money well spent for a college graduate breaking into a new job, paying rent and starting repayment plans on student loans.

If you don’t feel comfortable talking to your twenty-something about creating a budget, socking money away and enrolling in the employer’s 401(k) retirement plan and stock purchase program, turn it over to a professional.

2. Help pay off student loans or contribute to a 529 college savings plan. Gift registry sites, such as the GiftofCollege.com, allow family and friends to give money that can go toward paying off student loans or contribute to an existing 529 plan.

3. Give stock. There are several ways to do this, including transferring existing shares into an account for the recipient.

One of the easiest ways is to buy fractional shares of companies your graduate may be familiar with, such as Apple or Facebook.

At Stockpile, for example, people can buy a fractional share of more than 1,000 stocks and exchange traded funds for as little as $5, with no transfer documents or additional forms necessary.

You can give a gift card redeemable for stock, and the recipient can set up an account to monitor the shares and make trades.

Think of it this way: In addition to the stock, you’re also giving the graduate an education about investing.

4. Cash is king. About 60 percent of the approximately $5 billion that people spend on graduation gifts will be money, according to surveys.

If you still prefer writing a check or handing over a $50 bill, consider a little creativity. My neighbor, for example, used her considerable origami talent to fold a crisp bill or two into the shape of a mortar board or an eagle.

Or you could try cash and a book such as “Bad With Money,” by Gaby Dunn, the “O.M.G. Official Money Guide for College Students,” by Susan and Michael Beacham, or “Girl CEO: Priceless Advice from Trailblazing Women,” by Ronnie Cohen and Katherine Ellisen.

Questions, comments, column ideas? Send an email to sbrosen1030@gmail.com.

Family finances: Career advice for new college grads

Sandra Block, Kiplinger’s Personal Finance, Kiplinger’s Money Power

Beth Hendler-Grunt, president of Next Great Step, a career-counseling firm, and author of “The Next Great Step: The Parents’ Guide to Launching Your New Grad into a Career,” offers words of wisdom.

Q: New college graduates will be looking for jobs at a time when many employers are desperate to fill openings. How can they take advantage of these favorable labor conditions?

A: Before applying for a job, recent graduates should really think about the skills they have and what they’re really good at so they can explain to an employer the value they can bring to a company. A lot of young adults will say things like, “I’m a hard worker,” but that’s not a skill. Think about the top three things you want to be known for and be able to share an example of how you demonstrated that skill.

Q: Is networking still important? What’s the best way to do that with the workplace including more remote work offerings, including for hiring managers?

A: LinkedIn is a great way to network, but instead of just going on LinkedIn and asking to connect, take a few minutes to look at someone’s profile. Once you connect, you should have access to their email. Send them an email telling them that you’re interested in the work they’re doing and would like to speak with them. Many people are willing to give you 15 to 20 minutes on the phone or on Zoom if you’re thoughtful about it and explain what you’re looking to accomplish.

Also, many graduates underutilize their alumni network. People love to talk to fellow alumni.

Q: Speaking of Zoom, any advice for job seekers who are asked to conduct an interview through Zoom or a similar virtual tool?

A: Some companies are using one-way interviews to screen job candidates. Instead of a call from HR, they’re sending a link to job candidates and telling them to go on video and record answers to three questions. There’s no one on the other end. It’s very stressful, but it’s a big money saver for employers. But whether it’s a one-way or two-way interview, be prepared. Practice recording yourself answering questions and to see what you look like. You want to have eye contact, and to do that you need to look into the camera.

Q: What are the biggest mistakes new grads make in job interviews?

A: The first mistake is that they don’t prepare enough. They research the person who is interviewing them but don’t research the company. With the resources we have now, it’s so simple: Type the name of the company in Google and then type “in the news.” Are they public? Who is the CEO? What’s their latest stock price?

The second mistake is that job candidates get nervous and ramble, or they don’t listen to the actual question. People aren’t going to hire you if they can’t talk to you.

Sandra Block is a senior editor at Kiplinger’s Personal Finance magazine. For more on this and similar money topics, visit Kiplinger.com.