8 Tips for a Financially Healthy Family
An important part of raising a happy, successful family is prudent financial management. Money problems and debt can cause unnecessary stress in any household, but by budgeting and planning effectively, you can avoid problems and set a great example for your children. Here are a few tips that can help your family become financially healthy:
Tips for Building a Financially Healthy Family
Financial matters can be complex, and it helps to have a professional available to offer advice and support when you need it. For free financial coaching and advice about managing expenses, debt repayment and more, contact Clark County Credit Union today at 702-228-2228!
- Manage Your Expenses Effectively
Create a realistic budget that includes all of your expenses and be diligent about tracking your spending. Also, identify any costs that could be reduced or eliminated.
- Prepare for Emergencies
Job losses, health problems or accidents can occur at any time. Keep your family protected by setting aside enough money for at least six months of expenses.
- Keep Housing Costs Reasonable
Ideally, you should not spend more than a third of your income on housing. If your expenses are higher, consider choosing a smaller home in an area with lower costs.
- Consider a Flexible Savings Account
A flexible savings account for unreimbursed medical or dependent care expenses can limit your tax liability. If your employer has such plans available, you can use pre-tax dollars to fund these accounts.
- Explore Your Childcare Options
Full-time childcare can be expensive. For some families, it may make more financial sense for one parent to stay at home until the children are old enough for school. When both parents must work, however, options such as subsidized daycare, babysitting co-ops or nanny share care may be viable.
- Be Open With Your Family About Your Finances
Communicate with your spouse and children about your family’s financial affairs, keeping them involved and informed about necessary decisions. As a parent, it is important to set a good example, and by showing your children how to budget and plan properly, you can improve their chances of success in the future.
- Resist the Temptation to Overspend
Every parent wants their children to have the best childhood possible, but you must be realistic about your budget and limitations. Pay off charges as soon as possible and avoid unnecessary fees. Living within your means enables you to ensure all the necessities are covered while you save for the things you and your family want.