Strengthen these job skills amid the AI boom
As new graduates enter the workforce, these are key skills employers are looking for amid the AI boom.
After years of studying, weeks of final exams, and afternoons spent booing when commencement speakers talked about artificial intelligence, the Class of 2026 graduated into an economy where consumer sentiment was near an all-time low.
New college graduates are entering the “real world” without rose-colored glasses. A majority of respondents surveyed by career platform Monster in February, 76%, said they were concerned about the impact of the economy on their employment prospects.
After four months, they might feel even more hopeful. Employers expect hiring of 2026 graduates to increase by 5.6% in 2025, after a year of historically weak overall hiring in 2025, according to a survey by the American College and Employers Association, which has rebounded across the country over the past three months.
Even if they find work quickly, they will face high prices for essential goods. Rent, gas and food costs all rose in May, according to Labor Department data. Student loans will also face a different situation. Some repayment plans have ended and new repayment plans are scheduled to begin on July 1st.
Personal finance experts say having the right financial foundation can set you up for success. Here are five things new graduates are told to keep in mind:
Reject lifestyle oddities
The right first move may be as simple as creating (and sticking to) a new budget to avoid poor lifestyle habits. Poor lifestyle habits occur when your expenses increase as your salary increases, leaving little room to save or pay off debt.
Kelly Regan, a financial planner and vice president at Girard Advisory Services, says the biggest financial mistake new entrepreneurs make is spending money trying to fit into the lifestyles of their peers.
“Maybe you have the ability to live in your home for a little while and save money, but instead you go buy an expensive apartment,” Regan said. “Time is on your side right now, so whether it’s investing or paying off a loan, saving more or cutting back on expenses than you can now can really help.”
Save what you can
Miklos Ringbauer, a certified public accountant and founder of MiklosCPA Inc., said it’s not too early for new graduates to start building an emergency fund and putting a portion of their income toward an employer-sponsored retirement plan. The earlier you start, the more time compound interest has to work in your favor.
“A Roth 401(k) in particular can have significant long-term benefits, as many new graduates are likely to be in one of the lowest tax brackets they will experience during their careers,” Ringbauer told USA TODAY.
Roth IRAs are also an option for people who can’t find a job right away or whose employer doesn’t offer a plan, said Jack Howard, head of financial wellness at Ally. If you’re looking to build an emergency fund, a high-yield savings account is a good option, she added.
“The biggest thing is automation. So really get into the habit of doing whatever it takes. I’m going to send 5 to 10 percent for retirement and emergency savings,” Howard said. “Emergency savings build confidence for now. Retirement savings help build confidence for the future.”
Don’t forget about student loans
The time period for graduates to start repaying their student loans often comes to an end around the same time as they settle into their first job.
While this situation can be difficult to navigate, Howard simply said: New graduates need to “lock in.”
“That might mean calling your student loan provider to find out how all the changes coming in July could impact you,” she said, adding that if 2026 graduates don’t get an answer from their provider, they should contact their university’s student loan office. “If you find it too difficult, ask for help.”
New graduates may want to involve their parents in the conversation. Parent PLUS borrowers who fail to consolidate their loans by July 1 may lose access to public service loan forgiveness and income-driven repayment plans.
“The job market does not reflect your worth”
New graduates are optimistic about their earning potential. According to a study by Clever Real Estate, the average college student expects to earn $80,000 upon graduation, but the actual starting salary for recent graduates is closer to $56,000.
According to Monster’s research, 79% of respondents believe they can land a job within three months of graduation, but expectations are starting to change as longer hiring timelines become more common. More than a third think their job search will take more than four months, and 15% think it will take more than six months.
“It can affect not only their concentration, but also their mental and emotional state. They may feel depressed or feel like it’s taking them longer than expected,” says Monster Career expert Vicky Salemi. “It’s really important for them to stay focused and stay on top of what they can control.”
This includes making networking calls, preparing for informational interviews, and revising resumes, she added.
“The job market is not a reflection of your worth…If your job search takes longer than expected, it doesn’t mean you failed your education or made the wrong decision,” Joy Thiessen Brownstein, student services coordinator at Samuel Merritt College, told USA TODAY. “Remember, your first job is not your final destination. Most successful professionals don’t start in a dream role, and careers are built over time.”
don’t lose hope
While it’s easy to feel defeated amid rising prices and overall economic uncertainty, Regan says new graduates are not new to feeling anxious. What has changed is how much information is available 24/7, she added.
“Push notifications can often cause feelings of anxiety, demotivation, and depression,” Regan said, suggesting the Class of 2026 ask themselves questions and tell themselves: “Does this really apply to me? Sure, the unemployment rate does, but does it really apply to me? I live in this job market and I’ve had X number of interviews. If not, I can afford student loans. I just have to make a plan.”
Howard said people are often most worried about not being able to find a job or being “replaced” by AI. The best way to allay those fears is to take action and talk to yourself differently, she added.
“My goal is to change the way people think,” Howard said, adding that new graduates can, for example, rely on university referral centers, build relationships with recruiters, or take AI courses to gain qualifications that are more marketable to employers. “When you have a negative soundtrack, you tend to avoid and do nothing, whereas give some structure to what you can control to bring about a different outcome.”
Contact Rachel Barber at rbarber@usatoday.com, follow her at X @rachelbarber_ and subscribe to her newsletter Making More of Your Money here.
