Career Services, University of Pennsylvania

Tips for Relocating

APARTMENTS

How to Find an Apartment

Websites – www.craigslist.org, www.urbanhostess.com and others.
Housing binder in the Career Services office.
Tell people you are looking for an apartment.
Local newspapers.
Brokers – may charge one-month’s rent. They can be very expensive.
Roommates

What to Consider

Transportation – how long will your commute take?
Parking.
Noise – any place near public services (police stations, fire stations, hospitals) will be noisy. Also, you may want to choose an apartment facing an alley. Apartments on busy streets in metropolitan areas can be very noisy.
Tour the area and talk with people who live there.
New York City – the best deal right now is a two-bedroom apartment converted into a three-bedroom.
Buildings with a doorman – cost more, but she or he will do little things for you, like hold your dry-cleaning, accept packages, etc.

Payment

Usually, first month’s rent and security deposit will be required.
Security deposit – make sure it’s saved in an Interest Bearing Account, so you can get it back with interest.
Out-of-state checks – renters may not take out-of-state checks, so open a checking account with a local bank. You can open the account with an address outside of the state.
You will need proof of wages/offer letter/references/credit check/copy of a bank statement.
Talk to your bank about your situation because they will waive fees, and be aggressive about it. Tell them that you’re in transition.

Lease

Be sure you know the length of your lease.
Make sure everything works and that the apartment is clean, repainted and fixed before moving in. This includes the air conditioner, heat, appliances, hot water, leaks and windows. If something is broken, get it in writing that they will fix it.
They will think you are inexperience, so make sure you’re aggressive about it.
Talk to tenants as they come in.

Roommate(s)

The person who signs the lease is ultimately responsible for paying the lease, no matter what.
Your credit record will be hurt if you fail to pay your rent on time. It is therefore important to make sure your roommate(s) pay you on time.
Sublet – lending out a living space to someone. There is no legally binding contract involved, so the subletter can be kicked out at any time.
Work out details on who gets the larger room/cleaning schedule, and so on. Be sure to discuss living styles too.

Utilities

Electricity, gas, phone, cable, internet, cell phone.
Make arrangements to have them turned on when you arrive.
Most utilities require a deposit if you have no used them before.

Homeowner’s Insurance

It’s useful to have insurance if you have a lot of expensive possessions.
You may not need it initially, but it may become worth it.

Moving In

Check for restrictions on move-in days. Some places may forbid people from moving in on weekends, for example.

TRANSPORTATION

Public

Bus, Trains/Subway - try riding them beforehand.
Taxis, Airport – how easy is it to access them?

Car

Registration – how many days will it take to register in a new state?
License – you will need a new license if you want residency in that state. Register your car where you spend most of your time.
Inspections – some places will require inspections.
Insurance – your car is insured by auto insurance, not you. So your friends can drive the car.

MONEY

Taxes

Grad students’ income can be taxed.
www.4nannytaxes.com can tell you how much you will pay per month in taxes depending on your location and salary.
City tax – you will pay more if you live in a larger city like New York.

W-4

The government will take out too little or too much.
You will usually claim 0 or 1 dependents. Claim 1, because you will probably pay an accurate amount. If you claim 0, you will eventually get a refund but the government will hold the money until then.

Pay Yourself First

Develop a budget – it’s extremely important. Save that money and really save it. That comes first. No matter your income, you have to save or you will have no money.

Student Loans

Check the current rates. They usually change on July 1.
Cap – the highest amount that you can accrue.
Grace Period – how long you have until payments start after graduation.
Consolidate your loans (www.financialaid.com)
Some you can lock in the rate for up to 10 years, so it’s worth a try.
Possible discounts for paying electronically.

Credit Cards

Pay your balance every month, because if you don’t, your credit score (FICO score) will be hurt and that affects everything.
Get a card with rewards.
Negotiate for a better rate – credit card companies are surprisingly flexible.
If you and your parents have a joint credit card, it still builds your credit.

401K

It allows you to save money for retirement without being taxed. Money is taken from your salary and placed in mutual funds provided by your employer.
It grows tax free, but it can’t be taken out until age 59.
If you take it out earlier, there are penalties.

Matched 401K

Your employer matches the amount of money you put in your 401K.
There is a limit on the percentage of your salary that will be matched.
Be sure to max out the percentage, because it’s free money.
Your 401K stays with you, not your employer.
In a government job, you have a different kind of fun. You will have to set up a new 401K if you’re going into the private sector.

Employee Stock Purchase Plan

You can set a part of your salary aside through payroll deduction to purchase the company’s stock at a discount.
Do not use it as a retirement plan. That is what happened to many Enron employees.

Flexible Spending Accounts

You choose the amount to be deducted from each paycheck. There is usually a limit on the total amount that can be deducted.
Deductions are pre-tax, so your taxable income is reduced and you pay lower taxes for the year.
It can be used to pay medical expenses like deductibles or co-payments.
If you do not spend the entire balance, it will be lost at the end of each year.

HEALTH INSURANCE

Terms

Deductible – Pay a certain amount before insurance kicks in to pay the rest.
Co-payment – the fee you pay for every doctor’s visit or when you have a prescription filled. You may be charged less for generic brand of drugs.
Premium – Monthly payment for insurance
PCP (Primary Care Physician – the family doctor you have to see before you see a specialist

Provides medical services and referrals to specialists.

HMO – least expensive, least flexible.

You need to contact your PCP, then use the doctors in the HMO.
Outside of the HMO, you’re on your own.
PPO – most flexible, most expensive.

You don’t have a main doctor, but a book of preferred providers that you can go to. You will pay more outside of the list of preferred providers, but your insurance company will pay some of the costs.
POS (Point of Service plan) – Part HMO, part PPO.
You must contact your PCP first, then you can go to any doctor in the network. It gives you the flexibility to go to any doctor outside of the network for an added cost.

Advice

Get to know your doctor early. Do this when you feel fine, not when you’re sick.
Forward your medical records.
Get the number for the nearest pharmacy.

RELATED TOPICS

Clothing

Know the dress code before your first day of work.
Buy most of your wardrobe after your first day of work.

Networking in new cities

There are regional electronic network groups on the Career Services website (www.vpul.upenn.edu/careerservices/college/egroups.html).
Penn alumni association with chapters around the world (www.alumni.upenn.edu/club/index.html).
Meet people through your interests.

Q&A

Q: When should I start looking for an apartment?

A: It depends on the city. If you are starting in August, start looking in May. Apartment complexes require 60-90 days’ notice before ending a lease, so start looking for apartments then.

Q: What if you can’t go see your destination first?

A: Check out local papers while you’re there, craigslist and online housing lists. Try to get as much information as you can beforehand. You can contact Penn alum clubs, too.