1. Home
  2. Student
  3. What do I need to know once I graduate?

Timi Merriman-Johnson - Mr MoneyJar

What do I need to know once I graduate?

If you’re a student that’s about to graduate uni, you’ve got to listen to this. Here are 3 things to help you manage your finances once you’ve finished university.

How can I pay off my student overdraft?

If you’ve taken out a student overdraft, make a plan to pay it back as soon as possible, especially if it’s no longer interest-free.

The simplest way to pay off an overdraft is to stop using the account that has it, to make note of the balance, and then set aside a monthly amount to pay it off with, and a date to pay it off by.

How do I work out my monthly salary?

If you’ve found a job and you know what your gross salary will be, you can use an income tax calculator to work out what your take home pay will be after student loan deductions, tax and pension deductions.

This will allow you to plan your spending post-university and beyond.

How do I start paying into a pension?

If you’re aged 22 or over and start a job earning £10k or more per year, you'll automatically be enrolled into a workplace pension.

Pensions are a very important part of saving for later life, and so consider paying into one if you can. When you’re auto-enrolled into a pension, at a minimum 5% of your gross salary will go into it every month and your employer legally has to put in 3%.

You can also increase your contributions and some employers will increase theirs too if you do this.

When do I start paying back my student loan?

You’ll start to pay back your student loan if you took one out, but not until the April after you finished university.

If you started your course on or after September 2023, then you’ll pay back 9% of everything you earn over £25,000 each year. The loan is then automatically wiped after 40 years.