Bursting the Bubble

BURSTING THE BUBBLE S UR V I V ING A ND T HR I V ING IN L IF E A F T E R OU A CHI TA

Do you remember getting a new bottle of bubbles as a kid?

For many, your parents held the wand and blew bubbles at you. You would jump and try to catch the bubbles and pop them. Whether you smashed them with your hands, ran at them or stomped them with your feet, your goal was to pop them. As you grew, you were able to hold the wand yourself and blow the bubbles. With precision and patience, you would use the wand and blow the perfect bubble. No matter what technique you used, the goal was to produce the perfect bubble—the one that would float through the air and land without popping.

Much of your Ouachita experience was marked by the same technique. Faculty, staff and the Ouachita community trained and prepared you. They patiently worked with you until you were ready to be pushed out into the world. But reality comes quickly along, and you realize things are a little different.

The Ouachita Alumni Office has compiled this guide as a resource for you as you take the next steps in your life.

The information here was gathered with you in mind. The contributors are friends or alumni whom we see as experts in their fields. We do not intend for the information to take the place of professional accountants, human resource officers, financial planners or life coaches. It is simply a foundation to get you thinking and moving forward in the “real world.”

Get out there, pop that bubble and show the world what you are made of. You have a network of family and friends who are supporting you and waiting to hear of your successes. Check back in, let us know how you are doing and above all else burst the bubble of possibilities that await you. Good Luck!

TABLE OF CONTENTS Leaving the Bubble: Relocating to a new city.................................. 3 Apartment hunting The lease—things to look for What to look for in the new city

3 5 5

Budgeting your new Bubble: Financial Planning............................. 7 — Eddie Ary, Ouachita Assistant Professor Emeritus of Finance Bubble Wrap: Insurance Advice..........................................................11 — Laura Grace Kirby, Insurance Agent (’10) Marketing You........................................................................................ 12 — Mac Stroud, Advertising Industry (’74) Blowing a new Bubble: First Day of Work....................................... 13 — Sherri Phelps, Ouachita Director of Human Resources (’81) So, you land the job. Now what? How do you prepare?

Getting off on the right foot at your new job All about insurance Flexible Benefits or a section 125 Cafeteria Plan Retirement plans

13 13 14 15 15

Taxes.................................................................................................... 16 — Mike Vinson, CPA (’79) Saving your Bubbles: Planning for the Future (Retirement)...... 18 — Mike Marquez, Investment / Finance (’97) Remembering the Bubble: Giving Back......................................... 19 Keeping Ouachita informed about you Giving to Ouachita Getting involved in civic and social organizations

19 19 20

Student Loans.................................................................................... 21 — Mark Conine, Student Loan Industry (’97) Federal student loans Paying back your loan Consolidation loans

21 21 23

Bubbling Over: Miscellaneous Items............................................. 25 Dining etiquette Business attire Identity theft Voting Social networking

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Resources.......................................................................................... 36

LEAVING THE BUBBLE: RELOCATING TO A NEW CITY

Apartment Hunting: It’s three weeks before graduation, and you need a place to live after you walk across the stage. You can only camp out on your friend’s couch for so long, and moving back in with your parents may just not be an option. So, what do you do?

Some things to think about as you begin your search: ••

One of the most important things you can do is tell people you are looking for an apartment. Many times your friends, church or neighbors will know about rental opportunities that never make it to a public market.

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Would you consider a roommate? After all your years in residence halls, you are probably ready to live on your own, but a roommate may help you cut back significantly on costs. Not only can they help decrease your expenses, but they can also be huge assets when it comes to security and social life. Don’t you remember who you spent your first few days with at college? The same may be true as a young adult!

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Have you looked at your credit lately? Many landlords will run a credit report before they give you the keys. Don’t be caught off guard by what they may find.

Many online services offer a credit report for little to no fee. Not having credit can sometimes be as bad as having bad credit.

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Deposits are demanding. Most landlords will require at least a one month rent as a deposit when you sign your lease. Often, they will not accept out-ofstate checks, so be ready with cash, money order or some other form of cash equivalency for this type of transaction—and as always, get a receipt.

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Search online first. Before you have a chance to go to the actual city you will be living in, do an online search for vacancies in the area. Two great resources are www.apartments.com and www.homestore.com. Also, you can work through Chamber of Commerce offices and local apartment listing sources.

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Check small audience sources. Locally, you can find great offers listed in laundromats, smaller newspapers, work, telephone pole fliers, church bulletin boards and other public forums. Those lessors often like to find people with common interests and lifestyles and may open the door to you for that reason.

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The most common source is classified ads in the newspaper or online. Reading through these ads can be tricky, so make sure you know the language, lingo and how to read between the lines.

Consider what amenities are essential or negotiable, such as: Type of housing Floor level Size and number of rooms Location Balcony or patio Yard or stoop area Laundry

Fireplace Workout center Parking—covered or open Technology Elevator Surveillance Outside lighting

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LEAVING THE BUBBLE Other things to consider: • Check with police department and see what kind of calls they take in the neighborhood.

• Drive through the neighborhood at different times of the day to see what activity you observe.

• Ask the neighbors their feelings about living there.

• If you are relocating for your job, find out if they will cover any of your moving

expenses. If they are open to this, find out if they are offering a specific amount or if they require that you use a specific moving service.

Things to check in potential apartments: light switches elevator air conditioner heat appliances noise hot water heaters (individual or shared) windows (drafts) leaks under sink water damage on ceiling cracks in walls damages proximity to public transportation parking options safety features (smoke detectors, etc.) outside locks (dead bolt) toilets and plumbing evidence of rodents or pests outlets

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Common apartment lingo:

Walk-up: no elevator Duplex: two level unit Alcove: partly enclosed area connected to a room

Studio: one room or one room with kitchen connected

Cozy: small Adorable/unique/cute: nice words for tacky

New: over-priced Convenient: this word is a matter of

opinion, usually referring to location in the city

H/W: hardwood floors DW: dishwasher EIK: eat-in kitchen WIC: walk-in closet W/D: washer and dryer

LEAVING THE BUBBLE

The lease—things to look for: •

Make sure the length of your lease is written clearly. Know what the penalties are for ending your lease early and know what they mean by “month-to-month.”

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Find out who is responsible for making repairs and maintaining the grounds. Do they have a maintenance office you call or are you responsible for making the repairs yourself?

Also, know who is responsible for damages to the apartment by weather and natural causes.

Things to bring with you when you go to sign your lease: Money orders / cash equivalencies Driver’s license References

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Make sure the apartment will be clean upon your arrival and what you will be responsible for when you leave.

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Make sure you understand your deposit agreement. Will it be interest bearing?

What portion of it will you get back? What do you have to do to get it back?

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Know what your future rent agreements are. Will your rent increase at the end of your lease? Can they change your rent if the property owners change?

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Find out your privacy rights. Some states require landlords to give an advance notice before they enter your apartment.

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Make sure you have everything in writing. Any agreement you make is completely hearsay between you and your landlord unless it is in writing.

What to look for in the new city Check with the local Chamber of Commerce or City Hall about a city specific welcome/ starter kit. This will often include special offers and coupons from local vendors, as well as get you acquainted with what the community offers. It may include announcements like trash pick-up days, recycling pick-up, what can and can’t be run through the drain and other city-specific rules, as well as who to use for various local services.

What bank options does the city provide?

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Will you be able to transfer your account to this city?

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Are there national banks or local-only banks?

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What kind of banking options do they offer?

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How much money to you need to have to set up an account?

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How quickly after setting up your account will they allow you to write checks?

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What other services do they offer that you can take advantage of—student loan consolidation, car loans, savings account and retirement account options?

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LEAVING THE BUBBLE Who will be your utility providers?

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Are there multiple vendors who provide the same service?

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Are you automatically set on one provider because of your location?

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Can you get a discount by combining services through one provider?

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Are there mover services that you can use for vendors you are currently working with?

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What kind of start up/initiation fees will you have to pay?

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Where are the closest grocery stores?

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Are there rewards programs for becoming a member?

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Are there coupon services you can opt in to to help save some money?

Is there a hospital in town?

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Find out where the closest hospital is and if it is one you want to use.

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Does it have an emergency room?

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Also, check out the other medical services provided—dental, general physician, optometrist, etc.

Extra advice from people who have been there (recently): •

Join a group right off the bat. Get involved in a social group or civic club. It will give you a chance to quickly make friends and get plugged into your community.

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Be Bold. Organize get-togethers with friends. Fancy or cheap, such activities will give you an opportunity to cut the boredom and meet new people in the process. Go places where people with similar interests will be hanging out, take the initiative and introduce yourself.

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Don’t be afraid to do things by yourself. Get out and explore. Go sightseeing, drive around town, eat out or find a museum. Even though all your experiences may not be good, getting out will keep you from boredom and depression.

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Join a Gym. This will give you a chance to get in shape and also to meet people.

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Your co-workers will be an easy set of friends to make. Be cautious about blending your personal and professional lives, but realize that you will be spending a majority of your time with these people. Extend yourself to them, and don’t be afraid to open up.

Things seldom turn out how you plan them, so be flexible. Stay positive. If you look for the negative, you will find it. Instead, look for opportunities, and they will come your way.

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BUDGETING YOUR NEW BUBBLE: FINANCIAL PLANNING Eddie Ary, Ouachita Assistant Professor Emeritus of Finance

Develop Financial Goals •

Make sure your goals are realistic (considering your income), specific and measurable. Specify a time frame and action plan for accomplishing each goal. Here’s an example of a good goal statement: “Over the next five years, accumulate $6,000 for the down payment on a good used car by depositing $100 per month into my savings account.”

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Write down your goals. Studies have shown that the odds of achieving your financial goals increase greatly as a result of the simple act of recording them in writing.

Tithe •

God expects you to honor Him with the first fruits of your labors.

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The minimum tithe is 10% of income and should be given to your church.

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Give over and above the minimum to receive blessings (not necessarily financial) you never expected! As has been said many times, “You cannot out-give God.”

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Your attitude in giving is extremely important. God’s Word says, “God loves a cheerful giver.”

Save •

10% of gross income (before tax income) is recommended by financial planners.

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Concentrate initially on building up an emergency fund equal in amount to three to six months’ take-home pay.

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Consider allowing the amount you are saving to be drafted out of your bank account each month. This avoids the temptation to spend the money.

Prepare a Budget •

Your first budget allocations should be your tithe and an amount for savings.

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To insure that your budget allocations are realistic, keep track of every penny you spend for a month or two.

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After establishing your budget, compare each month your budgeted allocations (food, clothing, entertainment, etc.) to the amount you actually spent. Revise any allocations that prove to be unrealistic.

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To keep your budget from becoming a straitjacket, include an amount for fun money—money you can spend however you choose without having to track your spending.

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Consider using Quicken or some other computer-based software to facilitate budgeting and tracking your expenses.

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BUDGETING YOUR NEW BUBBLE Apply for a Credit Card •

Using a credit card will help you begin to establish your credit. Your credit history is the chief concern of lenders when you apply for a loan.

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Get a credit card that does not charge an annual fee.

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Pay the full balance owed each time you receive your credit card statement. The first time you cannot do this, cut up your card.

Minimize Debt •

Ron Blue, a Christian financial planner, recommends asking yourself the following questions before borrowing money: o Am I borrowing to fund a need or a greed?

o Will borrowing hinder my relationship to God or jeopardize my ability to pay tithes and give offerings? o Do I have a guaranteed way of repaying the debt? (The best way to guarantee payment is to carry adequate term life insurance and disability insurance.) o And if you are married, one final question is essential, “Are both my spouse and I free from anxiety about incurring this debt?”

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To make sure you can handle a debt payment you are contemplating, set aside the required payment in a savings account for six months. For example, if you are thinking about buying a car that would necessitate a $300 per month payment, put $300 every month for six months in a savings account. If doing without the $300 did not strain your budget, go ahead and purchase the car and apply the $1,800 you have saved during the test period to your down payment so that you will have to borrow less.

Keep Your Credit Score High •

Past payment history and the amount owed on credit obligations determine 65% of your credit score (often called a FICO score). Length of your credit history, new credit applied for and types of credit used account for the remaining 35%.

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A score of 700 and above is considered very good to excellent.

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Your credit score determines if you get credit.

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If you are granted credit, it determines what interest rate you are charged.

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Your credit score can affect the premium you pay for some types of insurance.

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Some employers are checking the credit scores of job applicants.

Begin Saving for Retirement •

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If you started saving $3,000 a year at age 22 and continued to do so for the next 39 years (a total of 40 years); you would accumulate $777,156 (assuming an 8% interest rate). Of the total amount accumulated, you would have only deposited $120,000 of it ($3,000 x 40 years), the remaining $657,156 ($777,156 minus $120,000) would be income earned by your deposits.

BUDGETING YOUR NEW BUBBLE •

Waiting 10 years and thus having only 30 years to save the $3,000 per year, would result in having only $339,846 at retirement—$437, 310 less ($777,156 minus $339,846) than if you had started 10 years earlier.

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Invest your retirement funds aggressively. If you saved $3,000 per year and because of conservative investing earned only 4% annually, you would have earned only $285,072 at retirement, $492,084 less ($777,156 minus $285,072) than if you had invested in an asset such as stocks and averaged earning 8% per year.

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Take advantage of employer matches. If your employer offers to contribute 4% of your gross salary to your retirement plan on the condition you do the same, go for it. If you are making $40,000 per year and fail to take advantage of your employer’s offer, you are kissing $1,600 ($40,000 x 4%) goodbye!

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Consider opening a Roth Individual Retirement Account (IRA). The Roth IRA offers a sizable tax break—the opportunity to escape having to pay income taxes on the income earned by your contributions. For example, we saw in the first illustration in this section that by contributing $3,000 yearly and earning 8%, you would wind up with $777,156—$657,156 of which represented income earned.

Not having to ever pay income taxes on $657,156 is a spectacular tax break!

Carry Adequate Insurance •

Don’t drive without auto liability insurance. This covers damage you do to others and their property when you are at fault in an auto accident. It also protects you in the event you are sued. Consider having the following limits (maximums paid by the insurance company) in your policy: $100,000 per person you injure, $300,000 for all people you injure in an accident and $50,000 for property damage.

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If you are renting an apartment, carry renter’s insurance. This insurance covers your personal property within the apartment, pays your room and board if the apartment is damaged to such an extent that you cannot live in it while it is being repaired, pays the medical expenses of non-family members injured in the apartment and covers lawsuits filed by such injured parties.

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Having disability insurance is more important than life insurance. This is due to the fact that at your age, the odds of becoming disabled are twice as great as the odds of dying. As the name implies, disability insurance pays you a monthly income during a period when you cannot work due to injury or sickness.

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Due to the high cost of medical expenses, carrying a health insurance policy or becoming a member of a managed care organization is important. Hopefully your employer will offer you a group policy and pay a large portion of the premium.

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When you get married, life insurance becomes important. Buy enough to pay off all your debts, cover your funeral and other death related expenses and provide for any other desired needs and goals.

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BUDGETING YOUR NEW BUBBLE Open an Interest-Bearing Checking Account •

Earn interest instead of allowing the bank to use your money for free.

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Before opening an interest-bearing checking account, make sure that you can maintain the required minimum balance. A service charge is normally charged each month during which your balance falls below the minimum. These service charges can more than offset interest earned on the account.

Comparison Shop •

When buying any major good or service, spend time comparing prices and features.

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Check Consumer Reports, a publication of Consumer’s Union, a nonprofit organization that buys products and services, puts them through tests and then rates them. Consumer Reports, either in hard copy or online, is available for free at most libraries.

Buy Used Cars •

A used car is normally several thousand dollars cheaper than a new car.

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By buying a used car with fairly low mileage, you avoid the big depreciation that occurs during the first year or two of a car’s life.

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Negotiate! Negotiate! Negotiate! Drive a hard bargain with the salesperson. If you can’t get the deal you feel is fair and reasonable, walk out!

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Keep your car for a long period of time rather than trading frequently. By doing this, you spread the fixed cost of ownership (depreciation, insurance, etc.) over more miles, thus reducing the per mile cost of owning and operating the vehicle.

Start with a Modest Home

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Many young people get into financial difficulties as a result of buying a home more expensive than they can afford. It is better to start on the low end and “buy up” as your income increases.

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Check for favorable terms available to first-time homebuyers. For example, in 2009 the federal government offered a tax credit of up to $8,000 for qualified first-time homebuyers.

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Make as large a down payment as you can so that you can borrow less.

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Shop for a mortgage. Mortgage rates and terms may vary considerably from one lender to another.

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As your financial situation permits, pay more than your regularly scheduled monthly payment on your mortgage. Any amount above your normal payment is applied to the principal and enables you to pay off your mortgage faster. The savings can be substantial. For example, if you borrowed $100,000 to buy a home and paid the mortgage off over a 30-year period, you would pay around $140,000 in interest. By paying the mortgage off over a 15-year period, you would pay only approximately $62,000 in interest.

BUBBLE WRAP: INSURANCE ADVICE Laura Grace Kirby, Insurance Agent (’10) When considering insurance, you have three different areas to consider—medical, life and auto.

Medical You probably heard this statement from your parents as you looked for a new job, “What are the benefits?” One of the main things they were referring to was your medical insurance. How much does it cost? What does the company provide? What will the insurance offered cover? These are all great questions to ask your Human Resources office.

Life This type of insurance will be a personal judgment call. Most of the time at this point in your life, life insurance would be used to cover your funeral costs. However, if you are starting a family and someone is depending on you as a source of income, life insurance would be a wise investment. An insurance agent can advise you on whether life insurance is something you need. Your new job will most likely offer a life insurance option, but these can be set up through your local bank or insurance agent as well.

Auto Auto insurance will be a topic you want to discuss with your parents if you are still under their plan. Each agency’s agreement is different, and you will need to know how long you can stay on their plan. As you embark on your own, make sure you know what type of coverage your state requires and what your insurance policy covers.

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MARKETING YOU Mac Stroud, Advertising Industry (’74)

When painting the picture of you, consider the following:

Prepare yourself! Be ready.

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Accomplishments: combine what you have done with what you know.

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PDF your resume

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Descriptions: words should convey actions, measures and outcomes.

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Get interview practice

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Internships and volunteer work count

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Get your expectations in order

A work of art—your resume communicates your story and should: •

Communicate facts about you

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Market your skills and abilities

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Create interest in you—quickly!

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Help you develop an interview strategy

Sources to consider on the job hunt •

University placement/alumni

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Circle of friends (former students, parents, friends of parents, girl/ boyfriend’s parents)

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Web advertisements

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Newspapers

Look for an opportunity, not a job!

Seek to find ways to describe and translate your “Ouachita Experience” into experiences gained through academics, volunteerism, internships, relationships, accountability outside the classroom, etc. These experiences can be the difference makers. Find ways to describe interpersonal skills, customer interaction, communication skills, innovation and creativity and project management expertise. All of these experiences are valued by employers and their customers. Your “Ouachita Experience” has helped build character and values (ethics) that are important to businesses today.

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BLOWING A NEW BUBBLE: FIRST DAY OF WORK Sherri Phelps, Ouachita Director of Human Resources (’81)

So, you land the job. Now what?

How do you prepare?

Days before: •

Adjust your personal time habits

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Continue to learn about your employer

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Take care of personal issues that can cause you to need time off from work

First Day: •

Be early

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Wear a smile

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Get your workspace organized

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Take notes

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Ask lots of questions, when appropriate

First Week: •

Prepare emotionally (assignments could come slowly at first)

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Discover the learning priorities

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Build relationships with others

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Be a fast follower

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Demonstrate patience andtolerance

Getting off on the right foot at your new job •

Make friends with the Human Resources personnel. They can be a wealth of knowledge and will make your transition into the working world much easier.

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Complete all of your employment forms in a timely fashion. This will show your employer that you are on top of your game and that you pay attention to detail.

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Ask questions. How are you going to know if you don’t? It never hurts to ask!

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Become a valuable employee. Valuable employees are hard to replace; those who merely go through the daily routine without gaining new knowledge or insight are a dime a dozen.

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Be on time! Not only your first day, but every day. If you arrive late each day, you will spend the first hour trying to plan your day or feeling as though you are constantly behind. Arriving a few minutes early will allow you the time to prepare for the day ahead and you will be amazed at the amount of work you will accomplish on a day that started early versus a day you spend trying to catch up because you arrived 30 minutes late.

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BLOWING A NEW BUBBLE

All about Insurance When you begin your new job (or first job, for many), insurance will be the No. 1 priority for you, your parents and/or spouse. Your parents will no longer be able to cover you on their policy, and being insured is one of the most important decisions you will make. Carefully look over the plan and consider all of the options your new employer is making available to you. Be sure to watch for enrollment dates. You do not want to work for an employer for six months and realize you never completed the enrollment forms for insurance and have passed the deadline for enrolling. Major mistake! These decisions are yours to make and once the offer has been extended to a new employee, many employers will not send out a reminder. So once again, watch for the deadline to enroll.

Insurance Terms You Need to Know Deductible: Most insurance companies require that you pay an out-of-pocket

amount called a deductible each year before they will begin paying for your medical expenses. Deductible amounts range from as low as $200 to as high as $2,000 and above.

Co-Pay: Your insurance may pay a percentage of a medical charge such as 80% or

90%, but you will have to pay the remaining balance. The remaining balance or copay amount is usually the balance remaining after insurance pays. Some insurance plans require that you pay a fixed dollar amount fee each time you visit a physician.

These are all examples of co-pays.

HMO/PPO: In order to reduce medical expenses, some insurance plans require

patients to use only physicians and hospitals that they designate. This is an HMO plan. In an HMO plan, medical expenses are not covered if you do not go to the HMO provider. A PPO plan or Preferred Provider Plan allows you to visit any provider you choose in their network. The PPO administrator will give you a list of participating providers where you will typically receive a discount if you utilize their services, resulting in a lower out-of-pocket expense to you. A PPO plan does not require you to use their providers, but if you opt to go to an out-of-network provider, your out-of-pocket expense will be greater and the plan will incur a larger charge as well. These larger charges could possibly result in higher premiums to you.

Portable Coverage: Insurance plans can place limitations on any type of pre-existing

condition that you may have at the time of your enrollment into their plan. The HIPAA Portability regulations allow you to present a Certificate of Creditable Coverage from the current insurance carrier to a new carrier. The certificate proves that you are insurable. Many insurance companies will waive or reduce the amount or length of pre-existing limits upon presentation of the creditable coverage certificate.

COBRA: Federal law provides continuing coverage if you terminate employment and

are no longer entitled to your group plan. Coverage can continue for a period of no longer than 18 months due to termination of employment.

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BLOWING A NEW BUBBLE

Flexible Benefits (Section 125 Cafeteria Plan) Many employers offer a Section 125 Flexible Benefits Plan, commonly referred to as a cafeteria plan. Although this has nothing at all to do with a cafeteria or eating, it has everything to do with saving what you owe in federal, state and Social Security taxes.

Here’s how it works: We will assume that you are paid monthly at a rate of $3,000 per month, and that you pay $300 in health premiums, $50 in dental premiums and $25 in life insurance premiums that are deducted once a month from your check. The total of the premiums is subtracted from your monthly salary, lowering your taxable wage base for the month. See the illustration below:

Without a cafeteria plan Salary $3,000.00

With a cafeteria plan Salary $3,000.00

Health Insurance $300.00

Health Insurance $300.00

Dental Insurance $50.00

Dental Insurance $50.00

Life Insurance Federal Tax State Tax Social Security Net (Take Home) Pay

$25.00 $346.85 $143.96 $229.50 $1,904.69

Life Insurance Federal Tax State Tax Social Security Net (Take Home) Pay

$25.00 $290.65 $117.71 $200.81 $2,015.88

As you can see from the example above, the take home increased by $111.19 per month or $1,334.29 annually for an employee who enrolls in the cafeteria plan at their place of employment.

Retirement Plans For every employer you will ever work for, retirement plans will be as varied and different as the people you work with each day. The bottom line when it comes to retirement plans is to ENROLL! You may think, “I am only 22 or 23. What do I need to know about retirement?” But the earlier you choose to enroll, the better off you will be later in life.

Chances are you will have several options on how to invest your contributions to your retirement plan, and this is not a decision to take lightly. Read all of the material that your employer gives you, and carefully consider the choices. A person of 22 will be able to invest more aggressively than a future retiree of 62, simply because the older employee will not be able to sustain the ups and downs of the stock market.

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TAXES Mike Vinson, CPA (’79)

Real estate and personal property taxes These are state-specific taxes, meaning every state will handle these differently. In Arkansas, when you license a vehicle, you will be subject to personal property tax annually. You must assess your vehicles by May 31 of each year and pay the tax by October 10. This normally can be done by mail or at your county courthouse. Real estate taxes are just that, a tax on any real estate you own. For most, this means your personal residence. When financing a personal residence, you need to decide if your finance company (or bank) will pay your real estate tax (and homeowners insurance) when due by adding a portion of each to your payment each month and holding that in “escrow’ until it is due. If you choose not to do this, or your finance company does not use an escrow account, your real estate tax will be due by October 10 with your personal property tax. You might consider saving money monthly to pay this tax when due.

Income taxes With today’s technology, many people are filing their own returns electronically. For many, this works well. When getting that first “real” job, it is important to be as accurate as possible with your income tax withholding. Your employer should ask you to complete a Form W-4, which asks you to tell your employer how to withhold federal (and possibly state) income taxes. For a single individual this is pretty straightforward. For married couples, it can be a little more complicated, especially if there is much disparity in their income. That is because withholding tables don’t always recognize both spouses’ incomes.

Even with all you have heard about the economy and the stock market, if your employer has a retirement plan such as a 401(k) or 403(b) plan, you should strongly consider contributing to that plan. This is especially true if your employer will match a portion of what you contribute. That matching contribution is instant growth in your retirement account. Also, you need to realize you are saving for a retirement that will for most be years away. You can afford to take some risk with your investing in retirement. Also, there is a possible tax benefit to saving for retirement.

Another benefit some employers offer is a cafeteria plan. This plan allows you to deduct otherwise nondeductible personal expenses from your taxable income.

Examples of the type expenses that can be paid through your cafeteria plan include health insurance, medical expenses and child care expenses. Check with your employer for more details.

As life gets more complicated, so will your tax return. At some point, you should consider getting a tax professional (i.e. a Certified Public Accountant) to assist you in the preparation of your income tax returns. That point might be if you live in one state and work in another, if you go into business for yourself (whether part-time or fulltime), if you sell an asset such as real estate or a stock or mutual fund or if you inherit assets due to a death in the family.

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TAXES With every tax return filed, there is a small chance your return could be audited by Internal Revenue Service. The most common reason a return is audited is because something is missing or incorrect on your return. With that in mind, you should keep a copy of all tax-related documents for at least five years.

If at some point in your professional life you decide to start your own business, you should consult with a tax professional immediately. Self-employed individuals have numerous additional tax issues that should be addressed in the beginning stages of a new or newly acquired business. Many businesses fail because of poor tax management.

A wise man once said, “ The best way to obtain wealth is to spend less than you make, save the difference and do it for a long time! ”

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SAVING YOUR BUBBLES: PLANNING FOR THE FUTURE Mike Marquez, Investment / Finance (’97)

Start saving with your first job The sooner you start saving, the faster you may reach your goals. Defer a portion of your income to your company’s retirement plan, at least enough to receive whatever matching funds the company offers. If there is no retirement plan, divert some of your paycheck to an IRA.

Think “Long Term” One of the keys to a solid investment strategy is setting long­-term goals and sticking with them. Don’t allow day-to-day fluctuations to get you off track. If the market’s movement is too much for you, choose a more conservative investment option and stick with it. Moving in and out of investments will diminish your chance of long-term success.

Choose investments wisely Diversification is essential; don’t chase past returns. The best performing areas of the market today may not be the best performers in the future. If you seek simplicity, find a “target date” or index fund that covers the broad market.

Save more each year Each January, raise your contribution level (try adding 1% per year). Increasing your salary deferrals a little at a time can be a relatively painless way to saving more and more of your income.

Don’t be afraid to ask for help Your company’s retirement plan will likely be supported by a team of financial professionals. Find out who they are and direct any questions or areas of confusion to them. The more you understand about your investments, the more comfortable you

will feel about them.

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REMEMBERING THE BUBBLE: GIVING BACK

Keeping Ouachita informed about you Although you may be leaving Ouachita upon graduation, we’re not going anywhere.

We’ll still be here in the future, educating new generations of Ouachitonians and preparing them to make a difference in the world.

And because we’re here and still plugging along in our dear old bubble, we want to keep up with you. We want to be able to stay in contact so you can know what’s going on at Ouachita after you leave. We want you to help recruit students to come to Ouachita, and it helps new graduates if we can help them network with other Ouachita alums when looking for jobs.

So do us a favor and send us your updated address when you get settled. Then keep us in the loop when you move. As an alum, you’ll receive The Ouachita Circle, Ouachita’s alumni publication. It’s a great way to keep up with happenings on campus and to keep up with classmates. But we can’t send it to you if we don’t know where you are.

Drop us an e-mail at alumni@obu.edu with your new contact information or complete the form online at www.ouachitaalumni.org.

You may be leaving “The Bubble,” but we have a feeling that you’ll want to know what’s going on here long after you’re gone.

Giving to Ouachita It’s no secret that non-profit organizations need financial support to make it from year to year. Ouachita is not any different. Your alma mater relies heavily upon the gifts and prayers of its friends and alumni to provide a quality education to its students.

True, your tuition did pay for some of your overall experience, but around 20% of Ouachita’s budget each year has to come from outside gifts in order for Ouachita to thrive. 20% may not sound like a lot, but for an organization that operates on a multimillion dollar budget, we’re talking about an amount in the millions of dollars.

You can help, no matter the size of the gift. The Ouachita Development Office has programs in place that can help young alumni who are interested in giving back to Ouachita understand the process and how their gifts can be made.

After all, someone helped provide your Ouachita experience. Why not help the next generation of Tigers have the full experience that you had?

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REMEMBERING THE BUBBLE

Getting involved in civic and social organizations We have all heard about civic organizations at one time or another, but we may not truly understand them. Going back to the basics, you will find that an organization is a group of people structured together working toward the same vision.

Civic organizations do so in a way to help society and rally themselves around a community or globally related topic. Social organizations function on the same concept, with interaction and relationship building at their core.

So, how do I get involved?

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Be observant. Paying attention to who is hosting events in your community will tell you what organizations are active.

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Check the newspaper. The local newspaper will often list meeting times of different local organizations.

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Check the website of local radio stations, Chamber of Commerce and city events calendar. You will quickly see who the contact person is for various organizations and what is being hosted.

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Do your research. Are there well-known national organizations that have a branch in local communities that you are interested in getting involved with?

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Ask at work or church. People who are already established in a community will likely be familiar with what the city has to offer. They will know what events are held annually and who sponsors them. They may actually be involved in things themselves and can help get you plugged in.

Common Organizations: Rotary International Kiwanis Club Lions Club International Junior Auxiliary (women) Freemasonry (men) Chamber of Commerce Boards

Additionally, there may be opportunities through your job to get involved as a community liaison or to represent your organization. Get involved!

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STUDENT LOANS Mark Conine, Student Loan Industry (’97)

Federal Student Loans Repaying student loans After you graduate, leave school or drop below half-time enrollment, you have a period of time before you have to begin repayment. This grace period will be: •

Six months for a Federal Family Education Loan Program (FFELP) Loan

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Nine months for Federal Perkins Loans

The repayment period for all PLUS loans begins on the date the loan is fully disbursed, and the first payment is due within 60 days of the final disbursement.

However, a graduate student PLUS loan borrower (as well as a parent PLUS borrower who is also a student) can defer repayment while the borrower is enrolled at least half time and, for PLUS loans first disbursed on or after July 1, 2008, for an additional six months after the borrower is no longer enrolled at least half-time.

Interest that accrues during these periods will be capitalized if not paid by the borrower.

Parent PLUS loan borrowers whose loans were first disbursed on or after July 1, 2008, may choose to have repayment deferred while the student for whom the parent borrowed is enrolled at least half-time and for an additional six months after that student is no longer enrolled at least half-time. Interest that accrues during these periods will be capitalized if not paid by the borrower.

Exit Counseling You’ll receive information about repayment, and your loan provider will notify you of the date loan repayment begins. We can’t emphasize enough the importance of making your full loan payment on time either monthly (which is usually when you’ll pay) or according to your repayment schedule. If you don’t, you could end up in default, which has serious consequences. Student loans are real loans—just as real as car loans or mortgages. You have to pay back your student loans. Find out about your obligations in this section so you can stay on top of your loans.

Get Your Loan Information

The U.S. Department of Education’s National Student Loan Data System (NSLDS) allows you to access information on loan and/or federal grant amounts, your loan status (including outstanding balances), and disbursements made. Go to www.nslds. ed.gov to obtain more information about your student loans.

Paying Back Your Loan You have a choice of repayment plans if you received a FFEL or a Direct Loan.

Federal Perkins Loans don’t have repayment plan choices; you generally have up to 10 years to repay. Your monthly payment will depend on the size of your debt and the length of your repayment period. There are several available repayment options,

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STUDENT LOANS examples of monthly payments for different loan amounts and other topics you need to consider when managing your loans.

What if I can’t make my payments?

Contact your lender for help as soon as problems arise. Lenders realize that borrowers may have financial problems from time to time. A borrower who is genuinely unable to make payments but sincerely wishes to honor the federal loan obligation will find the lender to be cooperative. It is in no one’s best interest for borrowers to default. The worst thing you can do is fail to make a payment without explanation. You may be entitled to deferments or forbearances that temporarily suspend or reduce your payments during financial hardship.

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What happens if I fall behind on my payments? If you fail to make timely payments and your account becomes 270 days delinquent (or 9 months/ payments), you will be in default. Your account will be assigned to a guarantor for collection. Your default will be reported to a national credit bureau and will become part of your credit record, making it difficult for you to get other types of credit.

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I am currently paying back my loan, but the payments are too high and I’m having difficulty making the payments on time. Is there anything I can do to get my monthly payments lowered? Yes. You should contact your lender or servicer and ask about the various repayment options available for FFELP borrowers. You may also qualify for a deferment or forbearance. It is very important to remain current on your loan repayment obligations, so call your lender as soon as possible.

Repayment Options Repayment plans offered for Direct Stafford Loans are generally the same as those offered for FFEL Stafford Loans. However, the Direct Loan program offers an Income-Contingent Repayment plan and the FFEL program offers an IncomeSensitive Repayment plan.

The repayment periods for Stafford Loans vary from 10 to 25 years. When it comes time to repay, you can pick a repayment plan that’s best suited to your financial situation. The following repayment plans are available to Direct and FFEL Stafford Loan borrowers:

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A Standard Repayment Plan with a fixed annual repayment amount paid over a fixed period of time not to exceed 10 years.

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A Graduated Repayment Plan paid over a fixed period of time not to exceed 10 years. With this plan, your payments start with a relatively low amount and then increase, generally every two years.

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An Extended Repayment Plan with a fixed annual or graduated repayment amount to be paid over a period not to exceed 25 years. If you’re a FFEL borrower, you must have more than $30,000 in outstanding FFEL Program loans. If you’re a Direct Loan borrower, you must have more than $30,000 in outstanding Direct Loans. This means, for example, that if you have $35,000 in outstanding FFEL Program loans and $10,000 in outstanding Direct Loans,

STUDENT LOANS you can choose the extended repayment plan for your FFEL Program loans, but not for your Direct Loans. Your fixed monthly payment is lower than it would be under the Standard Plan, but you’ll ultimately pay more for your loan because of the interest that accumulates during the longer repayment period.

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Income-Contingent Repayment (ICR) Plan (Direct Loans): Your monthly payments will be based on your annual income (and that of your spouse, if married), your family size and the total amount of your Direct Loans. Borrowers have 25 years to repay under this plan, and the unpaid portion will be forgiven.

However, you may have to pay income tax on the amount that is forgiven. As of July 1, 2009, graduate and professional student PLUS borrowers in the Direct Loan program are eligible to use the ICR plan. Direct Loan parent PLUS borrowers are not eligible for the ICR repayment plan.

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Income-Sensitive Repayment Plan (FFEL Loans): With an Income-Sensitive Plan, your monthly loan payment is based on a percentage of your income (from 4% to 25%), allowing you to extend your repayment period up to 15 years.

Individual repayment schedules will vary based on the borrower’s income and loan balance. Ask your lender for more information on FFEL Income-Sensitive Repayment Plans.

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Income-Based Repayment (IBR): IBR is a repayment option that caps your monthly payment at 15% of your discretionary income. Discretionary income is the difference between adjusted gross income (AGI) and 150% of the federal poverty line that corresponds to your family size and state of residence. The monthly payment amount, or Partial Financial Hardship (PFH) payment amount, is adjusted annually based on changes in annual income, state of residence, and family size. IBR is available for Stafford, GradPLUS, and Consolidation loans (consolidation loans must not include any Parent PLUS loans). Any balance outstanding at the end of 25 years will be forgiven with 25 years of eligible payments. Under current legislation, the amount of debt discharged is treated as taxable income, so if you qualify for loan forgiveness at the end of 25 years, you would have to pay income taxes on the amount discharged that year.

Consolidation Loans With a consolidation loan: •

Your monthly payment might be lower.

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Your repayment period may be extended (up to 30 years, depending on the amount of your consolidation loan and your other student loan debt).

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You will receive a fixed interest rate on your Consolidation Loan.

Compare the cost of repaying your unconsolidated loans with the cost of repaying a

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STUDENT LOANS consolidation loan. Things to consider are: •

Whether you will lose any borrower benefits if you consolidate, such as interest rate discounts or principal rebates, as these benefits can significantly reduce the cost of repaying your loans.

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Whether you might lose some discharge and cancellation benefits if you include a Perkins Loan in your consolidation loan.

Carefully review your consolidation options before you apply. Talk to the holder of your loan(s) for more information before you consolidate.

If you’re in default on a federal student loan, you still might be able to consolidate if you make satisfactory repayment arrangements on the defaulted loan or agree to repay the consolidation loan under the Income-Contingent or Income-Sensitive Repayment Plans, provided the defaulted loan is not subject to a judgment or wage garnishment.

1. What kinds of loans can be consolidated? All federal student loans discussed are eligible for consolidation, and others can be included. To get a complete list of your loans that are eligible for consolidation, contact your lender or the agent servicing your loan(s).

2. When can I consolidate my loans? For both FFEL and Direct Loans you can consolidate during your grace period, once you have entered repayment (the day after the end of the six-month grace period) or during periods of deferment or forbearance.

3. How do I obtain a consolidation loan, and where can I get more information? Most participating FFELP lenders have discontinued participation in the consolidation loan program. Contact the consolidation department of a participating lender for an application and more information. You may consolidate your loans with any eligible consolidation lender in the FFEL program. The U.S. Department of Education may currently be your best option for loan consolidation. For more information on a Direct Consolidation Loan, contact the Direct Loan Origination Center’s Consolidation Department at 1-800-557-7392, or go to www.loanconsolidation.ed.gov. TTY users may call 1-800-557-7395.

4. What’s the interest rate on a consolidation loan? The interest rate for both Direct and FFEL Consolidation Loans is a fixed rate for the life of the loan.

The fixed rate is based on the weighted average of the interest rates on all of the loans you consolidate, rounded up to the nearest one-eighth of 1 percent. The interest rate will never exceed 8.25 percent.

5. Are there any disadvantages to getting a consolidation loan?

Yes, there could be. For example, consolidation may significantly increase the total cost of repaying your loans. Because you may have a longer period of time to repay, you will pay more interest. You might also lose some borrower benefits such as interest discounts and rebates. Once made, consolidation loans cannot be revoked for any reason because the underlying loans that were consolidated have been paid off and no longer exist.

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BUBBLING OVER: MISCELLANEOUS ITEMS

Dining Etiquette You are invited out to dinner with your boss and the executives at your new job.

Questions start swirling in your head—what do I wear, how do I behave and will this be one of those things where they use every piece of silverware imaginable?

Answers: your suit, like your mother taught you to and YES! Whether you were lucky enough to go through cotillion or were just taught good manners, this is the time to show everything you know. There is no doubt that over the course of the next couple years, you will attend a formal wedding, dinner party or be put in a high-pressure dining or social experience. So, what do you do, how do you handle it, what are all those things at your place setting really supposed to be used for and can someone help me understand what this menu says?

The business dinner: The business dinner can best be defined as “a social occasion with an agenda.”

While eating a nice meal is probably the first thing on your mind, your boss has a different plan. This may be the start of a new relationship with your business and this client, it may be a reward to honor colleagues in your organization or it may the close of a long relationship and sealing the deal with a trusted client. Whatever the reason for the occasion, remember it and keep that as your goal of the dinner.

Also remember that you are not the star of the evening (unless of course the evening is about you). Many HR representatives say that new hires try too hard to impress their colleagues. Try to keep a low profile. Don’t try to be the expert; they know you are new in the field, and they do not expect you to know everything. Answer honestly and truthfully. Many times when caught off guard, a person has the tendency to make up answers in an effort to impress those around them. Remember, this is most likely a first impression you are setting, and at some point those around you will come back to this moment—make it something you want them to remember!

Above all, follow the event host. You will most likely not be paying for a meal that is set up by your boss, so take his/her lead. Do you remember how much you enjoyed playing Simon Says or Follow the Leader when you were a kid? This is one of those occasions to remember the rules of that game. Look at the menu and get a couple options in your mind. Listen as those around you order and see what they are getting. Wait until an appetizer or dessert is offered before you jump in and make a request. If everyone stays around afterwards and makes conversation, you do the same. This is a time to give as much of yourself as you can to the situation, not just skimp by.

Other things to think about: When you arrive at the restaurant, a Maitre D’ or host may escort you to your table.

Ladies, they will pull out your chair for you and help you get seated. Gentlemen, be prepared, they will sometimes lay your napkin in your lap. Also know that part of their job is to help you throughout the evening. Watching you closely is what they are there to do.

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BUBBLING OVER Napkins will most likely be fanned out or folded in a lovely origami shape. Once you are seated, place your napkin in your lap. If you need to get up during the meal, place your napkin in your chair. One you are finished with your meal, you may place your napkin on the table. This gesture signals to your wait staff that you are finished with your meal, and they may remove your plate.

When it comes to picking up the menu, watch for Simon again. See what the boss does; once he focuses on choosing an entrée, you may change your focus that direction. Otherwise, you should most likely be engaging in small talk with those around you.

Be prepared before the meal, and know who the guests will be at dinner. If you do not know some of them, do your homework. Ask around the office to find out their names and background so you are familiar with who you are surrounded by at dinner and don’t run the risk of mixing names or looking silly. Also, be prepared to talk about what’s going on in the news, current events or sports. This not only makes you look educated, but also gives you topics of discussion and common interests among the dinner guests.

Table Setting:

As always, the rule with silverware is to work from the outside in. Once you have used silverware it should always rest on your plate before it is removed with that course.

Here’s a handy technique for remembering which pieces in the setting are yours. Hold up your hands in front of you.

Put your tip of your index finger down to the tip of your thumb.

Your left hand should form a “b” and your right hand should form a “d.” The “b” is for bread—your bread place is on your left side—and the “d” is for drink—your drink glasses are on the right.

The Menu Decoded: Ordering food is another time to play Simon Says. As you see items listed on the menu, probably one thing is flashing in your mind—FREE—and you are probably right. Most business dinners are provided by the host or the boss, but take his lead on what you should order. This is a great time to try something new, but if the boss

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BUBBLING OVER doesn’t order an appetizer, you shouldn’t either. If he does, go with an appetizer, salad or soup yourself. Nothing is worse than sitting at a table full of people who are eating, and you just have to watch. Also, ask your waiter if you do not know what something is on the menu, if you need something explained or if you are looking for something specific that you cannot find. For example, here are some things that may throw you off:

Bouillabaisse: a seafood stew

Tartare: raw and finely chopped

Red Mullet: a tropical fish

Escargot: snails

Foie Gras: goose liver

Ceviche: marinated raw fish

Prawns: shrimp

Gnocchi: potato dumpling

Truffle: fungus

Vermicelli: thin, spaghetti-like pasta

Caviar: fish eggs

Arugula: salad green

Chilies: hot peppers

Carpaccio: thinly sliced raw beef

Morels: a type of mushroom

Leek: a type of onion

Rhubarb: leafstalks of a plant

Turbot: a type of fish

Venison: deer

Parsnip: root vegetable

Capers: pickled flower bud

Calamari: squid

Fricassee: a stewed meat

A la mode: topped with ice cream

Steaks: Flank steak: a lean cut of meet that is usually grilled and used for fajitas or Asian dishes

Rib-eye: a rib steak without the bone; prized among steak lovers for its marbling and flavor

Porterhouse: a large, flavorful steak cut

from the short loin, nearest the sirloin, usually combines two other pieces­—the New York and the Filet

T-bone: similar cut to the Porterhouse,

New York Strip: large, marbled cut of beef

but the filet side is smaller and marked by the “T” shaped bone running down the center

Sirloin: a large, tender cut of steak

Filet Mignon: the grandfather of steaks,

(often bears other names) around the bone

Filet: this tenderloin is the most tender of all steaks

not by size, but by rank. This tender cut is often wrapped in bacon and could be cut with a fork!

Once you have made your decision, close your menu. Otherwise, your server will think you are still trying to make your decision and will wait to return to the table to take your order. His job is to not rush the patrons.

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BUBBLING OVER Tying up the dinner – Extra tips to remember in the process

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If the food served is not to your liking, at least attempt to eat some of it and move it around your plate to look like you have enjoyed some of it.

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If a lady at the table excuses herself from the table, it is polite for the gentlemen to stand up as she leaves, sit down and stand up again as she approaches the table. Again a Simon Says moment.

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Instead of reaching across the table, it is common courtesy to ask the person who is seated in front of the item you need to pass it your direction or simply ask for the item to be passed.

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When you get butter—or any other condiment for that matter—add it to your plate and then to your item of choice. Go ahead and get the butter you will need for your entire meal instead of continually asking for the butter to be passed.

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If you are eating soup, when you come to the bottom of the bowl, tilt the bowl away from you to get the last of the soup.

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Picking teeth and licking fingers is very unattractive. Use your napkin, and if you need to excuse yourself to attend the restroom, please do so! Your other guests will be thankful you did.

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If asked for the salt or pepper, pass them together. They are a married couple— you can’t have one without the other! It will keep people from looking for a lost shaker throughout the meal.

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Always pass food from left to right when passing around the table.

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Taste your food before seasoning it. You don’t want to appear impulsive or inconsiderate to your fellow guests. It also makes a statement to the host, chef or cook about how you view the food.

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If you eat something with a bone, gristle or part that you do not want to swallow, you should remove it with the same utensil you used to put it in your mouth (fork, spoon, fingers, etc.). Whatever you do, be discreet!

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Do not talk with your mouth full. Chew what’s in your mouth before speaking.

Cut small bites, and only cut what it needed for the next bite.

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Turn off your cell phone. It is rude to take a call at the table, but if you must, excuse yourself from the table and exit the restaurant while on the phone.

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On a business dinner, it is not expected for you to gather your leftovers in a doggie bag.

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Business dinners are often long. Again, take cues from your boss/host about how the after dinner time will be spent. Do you get coffee or dessert or scoot back from the table?

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Remember to thank the host before leaving the dinner, especially if the client was the host, if you are on a job interview or if you were a guest in someone’s home. When in doubt, being gracious is always best!

BUBBLING OVER

Business Attire Find out early what the dress code is for your company. Everyone will view “daily dress” and “casual Fridays” very differently. If you question something, don’t wear it and ask before you do. Ultimately, your employer will set a dress code that allows you to comfortably do your job and to communicate effectively your organization’s mission to customers, potential employees and community visitors. For the most part, business casual, casual dress and business professional are defined by the following universal clothing guidelines (all attire guidelines listed below taken from humanresources.about.com):

Business Professional Dress Code Guidelines In a formal business environment, the standard of dressing for men and women is a suit, a jacket with pants or a skirt or a dress.

Business Casual Attire In a casual work setting, employees should wear clothing that is comfortable and practical for work, but not distracting or offensive to others. Any clothing that has words, terms or pictures that may be offensive to other employees is unacceptable.

Clothing that reveals too much cleavage, your back, your chest, your stomach or your underwear is not appropriate for a place of business. In a work environment, clothing should be pressed and never wrinkled. Torn, dirty or frayed clothing is unacceptable.

Slacks, Pants and Suit Pants Slacks similar to Dockers and other makers of cotton or synthetic material pants, wool pants, flannel pants, dressy capris and nice-looking dress synthetic pants are acceptable. Inappropriate slacks or pants include jeans, sweatpants, exercise pants, shorts, bib overalls, leggings and any spandex or other form-fitting pants.

Skirts, Dresses and Skirted Suits Casual dresses and skirts that are split at or below the knee are acceptable. Dress and skirt length should allow you to sit comfortably in public. Short, tight skirts that ride halfway up the thigh are inappropriate. Mini-skirts, skorts, sun dresses, beach dresses and spaghetti-strap dresses are inappropriate for the office.

Shirts, Tops, Blouses and Jackets Casual shirts, dress shirts, sweaters, tops, golf-type shirts and turtlenecks are acceptable attire for work. Most suit or sport jackets are also acceptable if they violate none of the listed guidelines. Inappropriate attire for work includes tank tops; midriff-baring tops; shirts with potentially offensive words, terms, logos, pictures, cartoons or slogans; halter tops; tops with bare shoulders; sweatshirts; and t-shirts (unless worn under another blouse, shirt, jacket or dress).

Shoes and Footwear Conservative athletic or walking shoes, loafers, clogs, sneakers, boots, flats, heels and leather deck-type shoes are acceptable for work. Wearing no stockings is acceptable in warm weather. Flashy athletic shoes, flip-flops, slippers and any shoe with an open toe are not acceptable in the office. Closed toe and closed heel shoes are required in manufacturing operation areas.

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BUBBLING OVER Accessories and Jewelry Tasteful, professional ties, scarves, belts and jewelry are encouraged. Jewelry should be worn in good taste, with limited visible body piercing.

Makeup, Perfume and Cologne Remember that some employees are allergic to the chemicals in perfumes and make-up, so wear these substances with restraint.

Hats and Head Coverings Hats are not appropriate in the office. Head coverings that are required for religious purposes or to honor cultural tradition are allowed.

Universal rule of thumb: clothes that would be suitable for the beach, exercise, dance clubs or vacation are not typically suitable for the work environment. If those are the clothes you want to wear, make sure you search out a job where that is appropriate.

Dress Down Days Certain days can be declared dress down days, generally Fridays. Clothing that has the company logo is encouraged. Sports team, university and fashion brand names on clothing are generally acceptable. You might want to keep a jacket in your office for the days when a client unexpectedly appears on a dress down day, especially if the client is wearing a suit.

Dress Code for Travel, Client Interaction and Trade Shows While the office setting can be casual because customers don’t visit, traveling to see customers, exhibiting at or attending trade shows and representing the company in the business community require different decisions about attire. Business casual dress is the minimum standard that should be observed when representing the company or interacting with customers or potential customers.

Before visiting a customer or potential customer, ascertain the accepted dress code and match it in your attire. This is especially important when you are traveling globally as customs and dress may differ from those observed in the U.S. Additionally, when you are representing the company, some community events might require formal dress. These might include Chamber of Commerce and other civic or business development meetings, luncheons and dinners. Take your cue from other employees who have attended and be observant at the event. If you are a speaker at a business event, certainly consider formal dress.

Finally, when a customer or a business partner does visit the office, the employee with whom the visitor is interacting should adhere to business casual standards.

No dress code can cover all contingencies so employees must exert a certain amount of judgment in their choice of clothing to wear to work. If you experience uncertainty about acceptable casual attire for work, please ask your supervisor or your Human Resources staff.

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BUBBLING OVER

Identity Theft Identity theft is a big issue facing our country. While many financial institutions are working tirelessly to keep you protected, personal identifiable information (PII) can be gathered from a myriad of sources including searching through your trash, copying your credit card number at a restaurant, looking over your shoulder at the grocery store or simply by getting creative in an Internet search.

Protecting yourself from these predators can change your financial future. These predators can run up debt, hack into your credit and scar your name for much of your life. Taking a proactive role to protect yourself, thinking ahead and being smart can save you many dollars and uncomfortable hours.

Below are some tips you can follow to help secure and protect your PII and ensure that your identity or your credit has not been compromised.

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Watch for shoulder-surfers. When entering a PIN number or a credit card number in an ATM machine, at a phone booth or even on a computer at work, be aware of who is nearby and make sure nobody is peering over your shoulder to make a note of the keys you are pressing.

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Require photo ID verification. Rather than signing the backs of your credit cards, you can write “See Photo ID.” In many cases, store clerks don’t look at the signature block on the credit card, but for the times they do, you may get some added security by directing them to your ID.

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Shred everything. One of the ways that would-be identity thieves acquire information is through “dumpster-diving.” If you are throwing out bills and credit card statements, old credit card or ATM receipts, medical statements or even junk-mail solicitations for credit cards and mortgages, you may be leaving too much information lying about. Buy a personal shredder and shred all papers with PII on them before disposing of them.

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Destroy digital data. When you sell, trade or otherwise dispose of a computer system, a hard drive or even a recordable CD, DVD or backup tape, you need to take extra steps to ensure the data is completely, utterly and irrevocably destroyed. Simply deleting the data or reformatting the hard drive is not enough.

Anyone with a little technical skill can recover data from a formatted drive. Use a product like ShredXP to make sure that data on hard drives is completely destroyed. For CD, DVD or tape media you should physically destroy it by breaking or shattering it before disposing of it. There are shredders designed specifically to shred CD/DVD media.

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Be diligent about checking statements. This has two benefits. First, if you are diligent about checking your bank and credit statements each month, you will be aware if one of them doesn’t arrive, which can alert you that someone stole it from your mailbox or while it was in transit. Second, you can ensure that the charges, purchases or other entries on the statement are legitimate and match your records so that you can identify and address suspicious activity.

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Pay your bills at the post office. Never leave your paid bills in your mailbox to be sent out. A thief who raids your mailbox would be able to acquire a slew of

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BUBBLING OVER critical information in one envelope—your name, address, credit account number, bank information (including the routing number and account number from the bottom of the check) and a copy of your signature from your check for forgery purposes, just for starters. Drop your bills at the post office or at least in an official U.S. Postal Service drop box to ensure that doesn’t happen.

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Limit the information on your checks. It may be convenient to have your drivers license number or Social Security number imprinted on your personal checks to save some time when you write one, but it reveals too much information if it falls into the wrong hands. In fact, some recommend that you only include your first initial on your check, such as “T. Tiger” rather than writing out “Tony Tiger,” so that if someone did get one of your checks they would not know your full name.

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Analyze your credit report annually. It is now possible to get a free look at your credit report once per year. The big three credit reporting agencies (Equifax, Experian and TransUnion) joined forces to provide free credit reports to consumers at annualcreditreport.com. You should review it to make sure the reported information is accurate, to make sure that there aren’t any accounts listed that you aren’t aware of and to keep an eye out for any other suspicious entries or activity.

From http://netsecurity.about.com/od/newsandeditorial1/a/aaidenttheft.htm

Other tips include: •

Keep your Social Security card safe at home—unless you are on your way to fill out a job application, there are few reasons to carry around the crown jewel of PII. Remember, identity theft and fraud are not exclusively credit-related— thieves can use a clean Social Security number to construct a whole new life.

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Choose “Forget Me” instead of “Remember Me.” How many web sites do you frequent that invite you to enable an automatic log on the next time you visit?

Don’t check that box! When convenience trumps confidentiality, you are asking for trouble. The harder you make it for hackers to follow your trail into an online store or bank account, the better. This is especially true when using a public computer, like one in a coffee shop, business center or client meeting center.

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Practice prudent posting. Social networking sites on the Internet enable individuals around the world to chat, share photos, recruit employees, date, post resumes, auction property and more. Because the Web makes it possible for any posted document to link with another, any data you put online has the potential to stay there for what amounts to electronic eternity.

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What’s in your wallet? Make photocopies of the personal material in your wallet: driver’s license, credit cards, insurance cards, all of it—front and back.

Should your wallet be lost or stolen, you won’t be left wondering what was actually taken and you will be able to quickly notify the appropriate agencies about what has taken place. This is also a great tip for travel documents. Copy those you are traveling with, carry a copy and leave one behind.

From http://www.fightidentitytheft.com/blog/-2/top-10-identity-theft-tips-for-2008

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Voting Voting is a right and a privilege. Getting involved and being informed are two of the biggest things that you can do to prepare yourself. If you are not already registered, make sure you do so. You can register several different ways: http://www.canivote.org/

http://www.register-vote.com/ http://vote411.org/ http://www.declareyourself.com/ http://www.rockthevote.com/ You will also need to change your voter registration once you move to a new city. It is typically an easy process but will vary from state to state. An easy place to start is your county elections office. This type of thing may be covered in some of the other things you do when you move to a new city. Especially if an election is coming up, take care of this early. Your local DMV office is another place to check.

Also, be aware leading up to election time of your polling place. Most often, you will get a card in the mail letting you know your local voting location. If you have kept your hometown as your permanent residence, make sure you start the process early for absentee voting. There is some paperwork involved and it will take time to be processed. Again, this process can vary some from state to state.

Social Networking Twitter, facebook and blogs got you through college, but now that you are moving into the “real world,” much of your personal relation to these social networking tools should change. We use the word “should“ because the choice is still yours.

However, we want to provide you tips on how the “real world” views these sites.

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Remember the section about Identity Theft? One of the biggest places that people can gather your personal information are these sites. Be cautious about listing your phone number, address or too many details about where you work or the city where you live. If people want to find you, make them work for it.

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Employers are using these social networks more and more in the interview process. Many businesses and corporations now have IT staff that research you as you begin the interview process. They will also periodically surf through for their current staff. This is not the place to list profanity, pictures of you out with your friends or any activities that you do not want your boss seeing. So, clean it up and make it something your mom would want to see. Guess what, she probably has a facebook page now, too!

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Don’t use facebook, myspace or any of these other tools at work or on work time unless it is necessary for your job. Be cautious about the personal time you spend on the Internet while you are at work. Your employer has hired you to do a certain job and may not want you spending their time doing personal activities.

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If you use facebook to “research” a colleague, employer or client (or date!), do not creep them out by rattling off all their personal facts. They will know they have been “facebook stalked” and will most likely be put off.

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On Twitter, be cautious about listing all your whereabouts. Keep in mind that your employer may be following your tweets. They may not be okay with you spending your day tweeting!

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It is always good to ask your colleagues what your boss’ take is on these technology tools. If he is for them, you know you have the green light to explore.

If she expects you to work during work hours and not play on her time, then be aware of that as well.

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LinkedIn is another social networking tool. Think of it as the professional version of facebook. Many professionals use this site for networking, connecting and sharing information about their personal and professional experiences. Use it as a way to manage the messages that are sent about you professionally, find out what other people in your field are doing and connect with potential employers, clients and customers.

As with any form of technology, these social networking sites were created to make life easier and more fun. However, they are all still personal forums, so be cautious about your involvement and creativity in using them professionally.

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RESOURCES Helpful links used as resources for this project: www.gradspot.com www.apartments.com www.first30days.com www.quarterlifecrisis.com www.capandcompass.com www.dresscodeguide.com www.fightidentitytheft.com www.itendity-theft-tips.com www.privacyrights.com www.canivote.org www.usa.gov www.philanthropy.com www.americancity.org www.mint.com www.pnc.com www.dinkytown.com www.webhelps.com www.quicken.intuit.com www.linkedin.com www.twitter.com

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ouachitaalumni.org

We send you our best. Graduation can be an overwhelming time, but it can be the most exciting time in your life as well. Every opportunity is spread out in front of you. The world is your canvas. So, think big.

What would your dream job be? What steps could you take now to get there? Remember that it took your parents the majority of their adult life to accumulate the things they have now.

The same is true for other adults you admire. You have to start now and move forward from where you are.

Be encouraged that you have excelled to get to this point.

You are a college graduate.

And whether the job market or graduate school is your destination, be encouraged that you are prepared to do anything. So, go out, conquer the world and remember that you are a Ouachitonian. We want to support you through the hard times and celebrate your successes! That’s what Tigers do, after all.

OU A CHI TA B A P T I S T UNI V E R S I T Y