How Does A Single Parent Finance the Family?

Today, in most two-parent families, mothers work outside of the home. Yet, there are more children living in poverty in America. It is believed that families need two incomes to maintain a marginal middle-class lifestyle. Two-parent families have financial difficulties, but this is nothing compared to the abject poverty suffered in single-parent families. Families are making more money today than fifty years ago, yet the average median income for the family has fallen. Inflation, family assistance, and the disparity between high and low-wage earners may explain the major decline in the national median income. America's middle class is rapidly disappearing.
Money can be a source of power over single parents. Traditionally, men earn twice as much as women. In a divorce, many women keep the kids while the men keep the money. Divorce courts across the nation have responded with adequate child support mandates, but have had trouble getting payments to the custodial parent. Nonpayment of child support is a major reason that millions of children live in deep poverty.
Delinquent parents in New York have been threatened with driver's license revocation for not paying their child support. In 1995, almost a half-million children in New York were owed child support. Additionally, the state of New York posted "Wanted" posters with pictures of parents that owed the most back child support. When delinquent parents do not support their children, taxpayers pick up the tab through bloated welfare rolls, exploding Medicaid bills, housing assistance, Aid for Dependent Children, food stamps, and food charities. Almost one-half of America's families receive some sort of assistance. That means they are not paying taxes, either.
America sends a mixed message to career mothers when they are stereotyped as not having enough time for the kids. Yet, society expects mothers on subsistence to work. All parents single, divorced or married simply must have rock-solid child care plans. These plans should cover normal, everyday supervision as well as sick-kid child care. Divorce courts must put the needs and interests of the children first when separating property and custody.
Teens can learn valuable lessons from financial hardship of the single parent family. Teenagers that have everything handed to them grow up to the rude awakening that everything they want is not going to magically appear when they are adults. Teens of single parent families know all about abject poverty. Their help at home is enlisted from the beginning and together they and their single parent can work for a future in a comfortable middle-class lifestyle.

Article Source: http://EzineArticles.com/6047640

Finance Guidelines For Families

Family operating cost has been hit stiff in the current times of downturn and small growth. This leads to an amplified number of individual bankruptcies. On the other hand, your children's costs and other family costs will lead you so. To avoid these conditions you must have a fair plan to judiciously and handle your savings very cautiously. Here is given some important tips that will help you to maintain your finance.
You have to call your all family members to have a logical plan and you have to discuss with them frankly about your present income and family maintenance cost. Monthly cost of your all family members is required. Through your present income you have to distribute your revenues and to do this you have to suggest all your family members and you need to make them understand your situation.
You must have cost properly for your household purposes and others. Keep equilibrium between your earning and expenses. If you need, you can have a list of expenses chart and it is better. At the present world costs are increasing day by day so proper utilizing is the main theme of financial guide.
If you are not able to guide your family through your present income then you can ask your one of the family members to have a per time job for financial backup. And to do this you can suggest him/her using online.
Remember that your children are growing up so they need some hand cash. To increase your family earning if you think to invest then you have to think about family maintenance.
You can get a bank loan if you maintain family cost. There are some bank load fields such as house loan, vehicle loan, business loans etc. You can want to have a house because your family is extending so you can cost that purpose.
However, you have to always remember about the present market costs and basis on this you have to maintain your finance.

Article Source: http://EzineArticles.com/3804537

Finance - Keep Your Bundle of Joy From Costing You a Bundle

Kids are expensive, there's no doubt about it. Raising a child through college can easily cost more than a half million dollars, even counting on public university tuition. But there are ways you can start saving from day one if you a savvy consumer and smart investor.
Here are 10 tips to help your family save money and plan for long-term financial security:
Breastfeeding can save you thousands of dollars. In addition to the documented health benefits to your baby, you will save an estimated $1,500 in the first year if you breastfeed rather than formula-feed.
Choose luxuries wisely. While a designer diaper bag might me a fun indulgence, at the end of the day you still have to change dirty diapers even if you're carrying "Julia Roberts' favorite tote."
Avoid gadget overload. Discern between necessary, helpful tools and less essential gadgets like the electric baby-wipe warmer. A high-ticket item like a jogging stroller is great if you are a jogger, but it's an expensive piece of equipment to leave idle in the garage.
Shop for used clothing and equipment. Babies grow out of their gear so quickly that you can "recycle and reuse" perfectly good gear that you buy secondhand or borrow from friends--especially those who have only children.
Let others buy toys for your new baby. The truth is babies don't really need many toys. It's tempting and fun to run out and buy toys the minute the pregnancy test comes back positive, but you will likely receive more than enough toys as gifts.
Beware the baby-store up-sell. An excited expectant parent is an easy mark. Don't get caught up buying expensive decorative items, especially as they add on expense to decorative nursery sets. The $200 quilt that comes with many sets will have to stay hanging on the wall, not covering the baby, so why buy it?
Once your baby is old enough to leave with a babysitter, form a babysitting co-operative group with other families you trust. This will strengthen the bonds among families, allow you to have adult time with your spouse, and save you a great deal of cash.
Even while your children are young, make time to keep your job skills sharp. Maintain your professional contacts and take the initiative to schedule lunch or meetings with former colleagues in your professional persona.
Consider looming responsibilities as a member of the sandwich generation. Talk to your parents and in-laws about their long-term plans for health care and retirement. Smart planning now can help avoid a financial crisis in the future.
Don't put off writing your wills. About three-quarters of parents with minor children do not have wills--an unacceptable risk for any family. Your family cannot be truly secure unless guardianship arrangements have been made for your children.
These are just a few of the ways you can "budget for baby," without out cutting any corners. Remember, your first responsibility as a parent is to provide a safe, warm, and loving home for your children, and the best way to ensure such a home in the long-term is to manage your finances wisely.

Article Source: http://EzineArticles.com/506721

Back to the Basics With Family Finances

It seems like a good portion of our society is obsessed with always having the latest and greatest consumer goods. In these hard economic times, the "got to have it now" mentality coupled with the recent downturn in our economy is a bad mix that should be avoided. Listed below are basic and sound financial principles that, if taken to heart, can foster peace of mind and even good health (lower stress, lower blood pressure, and less anxiety).
Create a Budget and Stick to it
A budget should be common place in any family financial plan. It can help prioritize and ensure that the essentials (food, water, shelter) are taken care of and not neglected. Track your expenses for the month and use that information as a guide to creating your budget plan. Categorize expenses, then allocate. Or in other words, determine how much will be spent on food, transportation, housing, etc.  Once a budget has been established, be disciplined and encourage family members to stick to it.
Avoid Debt
Excessive debt should be avoided at all costs. Homes, cars, education may be considered the exception. Get in the habit of spending less than you earn. If you are already living beyond your means, take action and make a change. Consider the following questions with every purchase, "Is it within the budget?" and "Do I really need it?" Save up for big ticket items. There is great satisfaction to be had in a free and clear purchase. If you have debt, pay it off as fast as possible.
Start a Reserve
Saving money for many has taken a back seat to the prospect of instant gratification and the "buy it now, pay for it later" mentality. The end result of such thinking can lead to misery. Putting away a small amount of money on a regular basis can over time pay back great dividends and provide long term safety from the inevitable ups and downs of the economy.
Educate Family Members
Include your children in family financial matters. Teach them the value of hard work, budgeting, saving and education. Lead by example.

Article Source: http://EzineArticles.com/2757422

7 Tips on Financial Planning for the Family

Effective family financial planning is essential to have so that we do not have problems later in life or in times when our financial need exists due to certain reasons. The steps in effective financial planning can be broken into;
1. Incoming and Outgoing Expenses
We will find the financial affairs of the family becomes much easier if we can manage all the income sources and expenses in the family. For example, we need to know how many family members that are on a monthly salary, the overall family expenses ranging from mortgage and car payments, water bills, electricity, telephone, and children's school expenses.
2. Provide Family Financial Goals
One of the most important measures to move towards financial stability is to determine our needs. In this regard, it will be helpful to determine exactly what we need in life as individuals, couple and families. These financial goals may require short-term and long term goals. However, these goals must be something in the range that we can afford, for example something that we possess within the time frame we have set.
3. Prepare Budget and Estimate Cash Flow
In reality, financial planning becomes more difficult to manage if we do not know how much income we receive each month and what we are actually spending. This information should be provided first, if we want to determine whether we have to increase our revenue or reduce expenses to achieve the financial goal that we have set. Once we list down all the income and expenditure, we can start preparing the budget and see if we have surplus funds that can contribute to our goal.
4. Dividing Income by Priority
The monthly income of an average, happy family should be spent according to priorities in which the family can live in peace and comfort. Normally, expenses for basic needs like food, beverages and clothing require 1/3 of the total monthly family income, another 1/3 for bills and gas while 1/3 more should go to savings or investments for the future.
5. Reduce Dependence on Credit Card Use
In today's economy, the use of credit card has become a necessity for everyone especially for working adults. If credit card is used wisely, it can be very convenient to the users. However, if it is used without control, it can be a dangerous financial instrument and can lead a consumer into bankruptcy due to the high interest rates charged by the bank..
6. Make Assumptions about the Future
Change is something that presses us out of our comfort zone. As the world changes, so does the economy. When the economy changes, it can affect our finances. All these changes are difficult to avoid. Therefore, we must not only be prepared for a change but to make plans how to deal with it. For example, how to deal with the effects of inflation, rising oil prices, freight vehicle and the increase in toll charges. All these will certainly affect our financial situation.
7. Financial Strategy
For every financial goal that we prepare, we must have a strategy on how to achieve those goals. For example, if we intend to buy a house a year from now, we need to know how much we should provide as a down payment and what resources we can use.

Article Source: http://EzineArticles.com/6120094

How Family Support Affects a New Business

You are quite aware that you should focus a significant amount of your attention on your family while you proceed but somehow it doesn't always happen that way as you become bogged down with trying to work out financial budgets, examine the potential of your business or even your own deep seated need to succeed in your field becomes a focal point.
It's important to realize that your family is an essential ingredient to your success and if they are displeased with how things are working out, it can negatively affect you, your business and your whole family life.
Your new business is bound to put constraints on your time as you work diligently to develop it and make it the success that you feel it can be. This can mean quality time spent with the family dwindles and family members can feel alone and unappreciated unless the family members are themselves involved as with a 'family business'.
It is important to realize that some of the family members may have different goals or priorities when it comes to business. They just may not have the same drive or inspiration and may not view a business success as paramount to their happiness.
If you want to make sure that they do not feel excluded or unhappy, it is a wise idea to have a family discussion with all the member affected and talk over the following topics:
- Will there be less time for shared family activities and attention for the members due to the new business venture? How great a time loss would the members be willing to accept?
- Is there going to be a need for the family finances to be rearranged to accommodate the new business or will it be financed by the family's income? Will it have a negative impact on the family budget as a whole?
- Are all the family members ready and eager to launch this business and believe it will be a success? Are the family members aware that the new business might not reach its financial goal or even fail which is a frequent occurrence with new businesses?
- How long a time span does the family think should be allowed for the business to remain a going concern if it is not living up to expectations and not generating enough or any revenue? If that happens, should it simply be shuttered or should there be an attempt to sell it off?
- Is there a contingency plan in the event that the new business goes under? Not all of these questions will yield immediate and thoroughly thought out answers before the business goes into operation or until it has been operating for a while. Many things can change that will impact the new business so it is helpful to go back over this list with the family members roughly twice a year to see if there are new opinions or additional input from the members.
Your family needs to feel connected and supportive of your new business plan or there can come a day when the family unit can break down. Most people do not want to lose their family to divorce or alienation because they allowed themselves to become obsessed with an idea or business plan.
The odds of your business succeeding are far more favorable if your family stands behind you cheerfully and optimistically. Be sure to give your family a chance to speak their minds and respect their opinions before taking those first steps on your new business path.

Article Source: http://EzineArticles.com/1416207

Finance Your Car With A Bad Credit Car Loan

Cars have always been high on demand and will continue to be in the years to come. At some point of time we all feel the need to buy a car for our family. The ones who already have a car look for a better/ snazzier make. The increasing demand of cars has led to an increase in car financing companies that offer a variety of loan options to suit the needs of customers from all walks of life. However most of these financial institutions rely heavily on the financial stability of the applicant to consider them eligible for a loan. Of all the factors that determine the eligibility, the credit score of an individual is given the maximum importance by most of the financial institutions. Thus people with a low/ poor credit score are unlikely to find favor with such financial institutions.
Nevertheless, a low credit score does not imply that one cannot get a car loan.
There are some financial companies, which have worked out financing plans that works best for the individuals with a low credit score. So, if one has a low credit score, bad credit car loan is the way to go.
Most financial institutions favor customers who are financially stable. The financial stability of an individual is determined by his/her credit score. Therefore the interest rates charged for the plans requiring a decent to good credit score is lower than the financing plans meant for customers with a bad credit score. However, a steep interest rate should not be a cause of worry for the loan seekers. The fact is that a bad credit score can be improved. The best way to improve the credit score is to keep a tab on the expenses. Once the credit score improves, the loan can be refinanced at a much lower rate of interest.
Finding an institution that offers bad credit car loans is not difficult either. Most good financing companies have an online presence. Use the search engines to locate some of them and check out their offerings. Customers should ideally use the online car loan calculators to determine the EMIs. Once the financing plan is short listed, apply for it straightaway by filling in the online order form.
So, those who have been considering their poor credit score, as a hindrance in getting car finance need not worry at all. Search for a good financing company, compare their offerings and ask for a bad credit car loan straightaway

Article Source: http://EzineArticles.com/682579

Personal Finance Budget Series: No 20 - What Wealthy People Really Think About Their Money

One of the main characteristics of wealthy people is that they have confidence in their ability to make decisions, in their purpose, and in their personal finance budget. Confidence, self confidence specifically, is a learnable skill, and to become strong in confidence is to understand how to place the mind in the right state. With mind and money aligned, wealthy people are much happier than those who only chase money as an end goal.
Confidence: The Four States of Thought
Autopilot Thinking is when people are over familiar with routine decisions, and can quickly form assumptions about what is expected - like when using credit cards in the store, or driving home along a well known route. This is an external thinking state and can be harmful. Another harmful state is the internal, critical voice, which so often tells people that they are an imposter - that they "can't do" or "aren't good enough"
There are two helpful thinking states which balance this - the internal voice is the thinking state where the mind assesses options, while the external helpful state is the engaged state, where the mind is concentrating on solving problems.
The objective in managing money, in assessing the personal finance statement, and especially if financial planning has been ignored and money is a problem, is to move from a harmful state to a helpful state, by working out where all the money goes, balanced against when it all comes in. Reflecting and evaluating alternative choices brings confidence back into the personal finance budget process.
Confidence: Why Negative People are so Destructive
Negative people are destructive because they can suck out the enjoyment of life from all the people around them. These people suffer from afflictive emotions, they become jealous, angry, fearful. They are critical, condescending and demeaning. These people are the opposite of what they seem because they are not at all confident, and project their toxicity as a protection against being touched by the people around them.
In seeking to build confidence as a skill, these people need to be avoided, or managed because they will do everything to precipitate doubt in those around them
Confidence: Strategies to overcome Doubt
The secrets to overcoming doubt, are to become confident in taking action and making decisions with personal finance. By moving away from self consciousness, by deliberately tuning out, focussing on something else, concentrating on financial goal setting, budgeting and forecasting, people can grow confidence because they can see a future to pursue, which takes attention away from self - building confidence.
Another way to overcome doubt is to picture the situation as a movie in the mind. Then make it black and white, then dim the picture before finally moving backwards as if leaving a cinema, so the image gets smaller and distant. Finally, positive thought and positive action both dispel doubts - so doing something active, and surrounding yourself with positive people works too.
Confidence: The difference between a Public victory and a Private victory.
In growing the skill of confidence, it is necessary to experience both private victories and public victories. Private victories are where outcomes are focussed on the personal results of being proactive, thinking about the end game before starting, and then choosing the first steps to take. In matters of personal finance planning, it is important to work with a personal finance spreadsheet, or a family budget worksheet.
Better still to subscribe to a personal finance budget software, preferably online for ease of use. The outcome is to be clear and precise about the budget decisions to be taken. Public victories are where attention turns to the outside world, where it is important to see the win for both sides, to understand first the consequences of spending money, and then to involve the family or those around you in a team effort to curtail wasteful spending.
Personal finance online software allows for this behavioural victory, the growth of confidence in managing money and in forming new personal finance budgets.

Article Source: http://EzineArticles.com/6253171

Financial Planning For Family Protection - A Sensible Approach

Planning your finances to ensure that you can fulfil future ambitions is a sensible alternative to the 'buy now, pay later' philosophy. It is especially prudent if you have a family and need to consider the ambitions of your children, such as their university education or aspirations to be a home owner. You may even wish to provide for a future lavish wedding or the benefit of a gap year for you children.
However, if you are in that situation then it's a case of the sooner, the better when it comes to starting your family financial planning. You may also be planning for life after children and want to make sure that your retirement is comfortable with the financial freedom to do whatever you please. In addition, you will wish to maintain a reasonable standard of living and that accounts for even if you are in your early twenties; it can never be too early to start planning for a pension.
The alternative approach is to do nothing and hope that everything will take care of itself. Although, Carpe Diem or live for the day is a phrase that is often bandied about, it can be an expensive way of maintaining a lifestyle and certainly won't help in any future planning. Although spontaneous events can sometimes prove the most enjoyable experiences, when it comes to helping control finances it cannot always prove to be a very coherent strategy.
In addition to investing cash, and purchasing stocks and shares, you can secure family protection by taking out relevant insurance policies. Although we all intend being around to ensure that we can watch our children grow up, sometime fate plays its hand and prevents that from happening. By ensuring that you have adequate life insurance you will at least protect your children's financial future, should the worst happen to you and your partner.
However, ensuring that you are fully protected takes some time and effort. This is especially true when you take into consideration the time span of actually finding the most suitable protection for you and your family. Indeed, those with the time and patience can find that it is ultimately rewarding; however many people turn to specialists for advice when it comes to financial planning, tax and insurance matters. Whichever route you choose it is never too early to ensure that you and your family's financial future is assured.

Article Source: http://EzineArticles.com/1790221

Full Family Dental Care With A Family Dentist

Most people will agree that a toothache is one of the most uncomfortable and painful things a person will go through in their lifetime. It can effect how you sleep, eat, work and even just how you are able to function on a daily basis. Sadly, many people are suffering through this pain for no reason at all though simply because they don't believe they can afford to get the dental work done that they need. A problem like this will not go away on its own and will only start to get worse as more time passes by. This is why it is important to get family dental care for everyone in your household to prevent these problems from occurring in the first place.
A family dentist can provide everyone in your family, no matter their age, with great dental care that is close to home. They usually accept a wide variety of insurances and most even offer financing plans for more complicated and expensive procedures. Knowing this, there is absolutely no excuse for not getting the appropriate dental care your whole family needs.
Many people have a strong fear of going to the dentist because they automatically assume every problem will require a painful and lengthy procedure. Once you have visited your dentist, however, you will find out that they can use the tools and equipment they have to quickly diagnose the problems and give you a list of available options for treatment.
Sometimes you only need something as simple as a new filling but you won't know unless you go in to have your teeth looked at. A consultation can provide a great deal of insight into what kind of dental care you are in need of.
For cosmetic procedures you might find yourself quite surprised that many family dentists can do teeth whiting and other cosmetic work right in their own office with the need to refer you to someone else.
If this is more along the lines of the work you are looking for than you should look into the payment plans and financing that are available. Most places can set you up to get the work you want while you pay payments on it over several months.
Most of the steps that need to be taken to apply for financing are done by the dental office. The most you will have to do is fill out a short application and give it to someone that works in the office. They will usually call in to the finance company they are using and give them all of your information. In most cases a decision can be returned to you within a few minutes and you can go ahead and begin the process of getting the work you want done started on.
As you can see, dentists office are a lot more high tech than they used to be. Most dentists can perform just about any procedure you could need or want in their own office without having to sending you to a specialized clinic hours away from where you live. The least you can do is call or stop by an office in your area to inquire about all the services they can offer to you and your entire family.

Article Source: http://EzineArticles.com/5324594

Easy Ways to Protect Your Personal Finances From Further Economic Contraction

While the economy has already certainly softened, there may be further economic contraction for American consumers to face. Increasing job losses, higher inflation rates, and the growing food and energy costs are making personal finance budgeting difficult for most American families to achieve. The variable interest rate of recent mortgages makes critical, and the prospects for personal finance do not look bright for the next several years.
However, an ounce of personal finance planning is certainly worth more than a pound of monetary cure. It is not too late to start preparing your personal finance budgeting efforts to brace yourself for further economic contraction - ensuring that when America does recover from its economic weakness, your personal finance will be intact and still healthy.
Debt management strategy: watch your interest rates
When economic uncertainty is on the horizon, interest rates are the first to react - making debt management critical. Powered by both the Federal Reserve rate and each banking institution's tolerance, interest rates can either soar or plummet, depending upon several factors.
Whereas our interest rates were at historical lows, the Fed Chairman Bernanke made adjustments to the rate in order to curb inflation, while attempting to simultaneously stimulate economic investment. What does this mean for your debt management? In essence, banks will now offer you great interest rates if you have good credit, making your debt management easy. If you have bad credit, then banks will increase your interest rates, as the risk of a default grows greater during an economic contraction.
Therefore, for debt management that will prepare for further economic contraction, you want to lock in low interest rates, which will be easy for those who already have good credit. You can refinance your credit cards by consolidating your debts, or you can even renegotiate your interest rates with your existing credit card company.
For those who have less than stellar credit, you want to carefully watch your mortgages, loans, and credit cards to ensure that they are not raising your interest rates. You may be particular susceptible to interest rate hikes in further economic contraction.
Smart personal finance budgeting
Keep in mind that regardless of how much income you earn, the key to maintaining financial stability is through intelligent debt management and personal finance budgeting. Even if you earn millions, your spending habits and debt are what determine your financial stability. In preparing for a further economic contraction, it is important that you take several personal finance budgeting steps:
o Tally all of your required expenses including your mortgage or rent payment, car payment, health insurance, and utilities. There are the bills you must pay each month, and therefore, are part of your mandatory personal finance budgeting process.
o Allocate a set amount each month for groceries. Keep in mind that you should try to purchase everything "on sale" for smart personal finance budgeting. Research shows that simply by purchasing the brand that is on sale, you can save approximately 20% each time you go to the supermarket.
o Minimize your entertainment expenses. Smart personal finance budgeting means limiting how frequently you eat out, or spend money on entertainment. For example, if you have a four-person family and you typically watch a movie at the theater each week, cutting this expense out could save up nearly $200 each month. Or, brown bag your lunch instead of eating at the local sandwich shop. This small change in your personal finance budgeting can save you conservatively $150 per month. Just these two small changes alone in your entertainment expenses can give you an extra $350 per month for your personal finance budgeting.
o Set money aside for your savings. In a further economic contraction, the greatest, yet most probably fear, is losing your job. Therefore, by taking conservative approaches with your personal finance budgeting now, you can still set aside emergency funds that will help your family if times are difficult. Saving 10% of your income each month is a healthy, yet reasonable, amount to save in your personal finance budgeting.
The key to protecting your personal finance against any additional economic contraction is through smart debt management and intelligent personal finance budgeting. By taking several preventative measures now, you can ensure that your financial situation will remain healthy - regardless of what happens to the economy.

Article Source: http://EzineArticles.com/1400435

End the Family Finances Fight

You're having the usual fight - you know, the one where he bought something you consider totally unnecessary with the money you were saving to buy something truly necessary, thank you very much:
"But a new car rack is necessary!" he exclaims, "Where are we supposed to put all the gear when we go camping with the kids and your aunt and uncle next month?" "Oh, sure," you say, "something we're going to use one time! Is worth throwing away the money I was saving for a new garbage disposal, which we use every day. And besides you like my relatives."
You cross your arms firmly over your chest, ready for the onslaught. Here it comes: "Oh, for crying out loud," he says, "It's not that big a deal." "Not for you," your voice rising, "You're not the one having to cope with scrapings and leftovers every day." "I'm the one who rolls out the garbage!" he slings back. "Once a week!" you cry. You barely manage to yell out "You never think of me, it's all about you, you're so selfish!" before you burst out of the room and into tears.
Eventually, you'll make up--there's just too much else going on to keep fighting--what with work and kids and chores and all the rest. And let's face it, you do love each other, it's not that, but you really wish you'd stop have the same old fight!
Start by turning towards each other instead of away from each other. In other words, look at each other as partners, work together towards a common goal. Let the problem be something you attempt to solve together, rather than reasons to beat each other up verbally in the name of "I'm right, you're wrong."
1. Plan ahead
Business have to have long, medium and short term goals. So should you.
For example, at the beginning of each year, sit down together and create a "wish-list" of what you'd like to accomplish financially that year, what you see as those things you'd both like to buy or repair or expand. Talk about it, discuss your thoughts and feelings around each item and come to mutually agreed-upon decisions. Then, plan roughly how your "wish-list" might break down, month to month, in realistic, manageable, practical goals. Be sure to factor in some money for savings so you're equipped for the unexpected (at least to some degree) and won't have to forsake your "wish-list" in the name of emergencies.
2. Set yourselves up for success
At the beginning of each month, take a hour or so to review last month's goals. See how you did. Congratulate yourselves for your successes and look forward to the next month's goals. Are they still realistic? Are they still something you want? Did something new come up that now needs to be incorporated into your monthly goals? Make adjustments as necessary, always discussing things until you arrive at mutually agreed-upon decisions.
3. Follow through
A plan isn't worth anything unless you stick to it. Your initial planning sessions and your once-a-month reviews will involve some time and effort, but it's far less than the time and energy you presently spend fighting and being upset with each other - not to mention the emotional toil of your arguments.
Of course, there will be times when one or the other of you make a purchase that's outside of the plan. Rather than attack your mate, take a moment to settle yourself, then say "OK, let's see how that changes the plan," and together figure out how to work it out. Resist blaming the other. Treat your disagreement as a practical matter to be sorted out between two people who care deeply about each other, not an excuse to dredge up past hurts, grievances or perennial sore spots.
The more you deal with the business side of your relationship in business like fashion, the more time and desire you'll have to deal with the romance, companionship and fun parts.

Article Source: http://EzineArticles.com/677198

6 Things I Learned by 30 That I Wish I Would Have Known at 20 - Family Finances

When it comes to money and couples, financial intelligence is a slow, but steady course. Here are six things I wish I would have known when I became a legal adult:
1)Time is on your side. Well, when you are in your twenties, time has no limit. When you're in your thirties, you do start to see an expiration date, and it's called "years to retirement". More specifically, it's "How much do I need to save each month to retire comfortably?" And then you look at those tables that show you what your nest egg would look like if you put away $50 per month from age 20, and compare it to starting at age 30. Wow! The compound interest factor sure helps out those twenty-something's. And they probably weren't even paying a mortgage or feeding a family of four! Start your savings early, early, early on: you'll really be glad you did!
2) A credit card is NOT about the points. When I got my first credit card, it was just so I could "write cheques; just for ID purposes..." And then I started collecting them to get the free hats, $25 off my first purchase, free airline miles, cash back - you name it, I had a card that gave me something. Well, what it gave me was a very big debt-servicing ratio; when I applied for a mortgage, I was nearly turned down because the available credit between all the cards brought me dangerously close to my maximum debt-servicing ratio. And I paid my cards off in full each month! So, don't overload on different credit cards - choose them wisely, and use them wisely.
3) Family Planning isn't just about birth control. Ladies, remember: people don't like to lend you money when you're not working. Take care of your credit needs while you are working, not when your maternity leave starts. And have some financial resources put aside in your own name. Nothing is worse than seeing your friends split up after the birth of a child, and have them tell you "He had all the money..." or "She never let me see where the money was going". Think of what life will look like if you become a stay-at-home parent, and what it will look like after paying crazy day-care fees if you do decide to go back to work.
4) Life insurance is far better than mortgage insurance. You've bought the house, and you're in the bank signing the mortgage documents, and your banker says "Oh, you'll want mortgage insurance as well, right? Just in case something happens to you, and it's only $45 per month..." Be smart and get some life insurance quotes for the value of your mortgage (and of course any additional amount you may need as well) before you step foot in the bank. You can usually get a life insurance policy for the value of your mortgage for less than the amount the bank will quote for "mortgage" insurance. With life insurance, your estate will be paid out the full value on the policy, and then your estate will pay off the mortgage, with any remainder going back to your estate. The more you pay down your mortgage balance over the years, the less your estate pays to clear the mortgage. You can also choose to lower your policy value as the value of your mortgage decreases, which will lower your premiums. With mortgage insurance, the bank is the only one to get paid, and your premiums don't go down as your mortgage balance does, so you're paying the same premiums at the beginning of your mortgage as you are when you have only $5000 left to pay on your mortgage. Protect yourself - not the bank.
5) Have someone else pay your mortgage. That's right - get a rental property! Now I know we all know someone who got burned by a bad tenant, bad inspection, etc. But it really can make a big difference to your overall net worth if you just went out and bought one rental property when you are in your twenties. By the time you're 50, the property is paid for, and the monthly rent is straight cash flow to you. Consider living in a house and renting out the basement. Or buy a two-bedroom condo by a college or university and rent out a room. Do this before you settle down and have kids that will bother your tenants...One caveat: make sure you do your homework on rentals - join some networking groups, and only work with a real estate agent who has rentals of their own. Real estate is not the thing to "try out" without some advice from people who've been there.
6) Get educated about money. In your twenties, money buys you things, things, and more things. What you don't know is that money buys you assets, which buys you financial freedom. Robert Kiyosaki, author of Rich Dad, Poor Dad tells us to buy assets that make you money, not doodads that cost you money. You really need to have a good look at your philosophy surrounding money, and begin to understand that you need to have your money working for you, not you working for money. Until you actively learn about money and passive income, you'll just be paying bills with your cash instead of accumulating cash. By the way, I highly recommend Robert's book Rich Dad, Poor Dad for every young person - it's a real starting point in a person's financial awakening.
So whether you're a single, a couple, or a family with kids in tow, make sure you are always looking ahead when it comes to finances. I hope you avoid the traps I fell into in my twenties, because there is a whole other list of pitfalls to beware when you hit your thirties!

Article Source: http://EzineArticles.com/5388748

Statutory Maternity Pay Can Help Your Family Finances

When expectant mothers first discover they're pregnant, sorting out the family's finances and applying for Statutory Maternity Pay1 or Maternity Allowance1 isn't necessarily the first thing to be considered.  There are so many more fun things to deal with, that making financial decisions, filling out forms and applying for grants is pushed to the back of the queue.  Trying to find out about the full range of benefits that you might be entitled to during pregnancy and maternity leave is time consuming and can seem confusing.  However, benefits such as Statutory Maternity Pay (SMP) and Maternity Allowance (MA) are there to help ease your finances whilst you look after yourself and your new baby. 
To qualify for Statutory Maternity Pay you must have been employed by the same employer continuously (some exceptions) for at least 26 weeks into the 15th week before the week your baby is due.  Statutory Maternity Pay is paid for a maximum period of 39 weeks. It is paid at 90 per cent of your average gross weekly earnings with no upper limit for the first six weeks and for the remaining 33 weeks at either the standard rate of £123.06 or 90 per cent of your average gross weekly earnings whichever is lower.
You need to tell your employer that you are pregnant at least before the first day of the 15th week before your baby is due.  You may need to show your employer your certificate MAT B1 that you will get from your doctor or midwife around week 21 of your pregnancy. Your employer should help you understand their policy on Statutory Maternity Pay and what you are entitled to.  Once you are in possession of the facts you will be able to start planning your family's finances2 for after your baby is born.
To claim Statutory Maternity Pay you must tell your employer in writing at least 28 days before the date you want to start your Statutory Maternity Leave. Your employer will usually pay you Statutory Maternity Pay in the same way and at the same time as your normal wages. Maternity Pay is treated as normal pay, so your employer will also deduct Tax and National Insurance as usual.
If you are self-employed or do not qualify for full Statutory Maternity Pay you could still be entitled to financial help in the form of Maternity Allowance.  To qualify you must have paid Class 2 NI contributions on any self-employed earnings and like SMP it is paid for a maximum of 39 weeks.  To qualify you must have worked for at least 26 weeks in the 'test period' which currently counts the 66 weeks up to and including the 15th week before the week your baby's due.   You must have earned an average of £30 per week during 13 of those 26 working weeks and you can choose which 13 weeks to count (usually those with the highest earnings) to get the maximum amount of benefit.
Being a new mum is both exciting and exhausting, but being aware ahead of time what money you're entitled to during your maternity leave will mean you can enjoy your new baby without any additional financial worries.

Article Source: http://EzineArticles.com/2320756

Handling Family Finance

Family Finance - What has this got to do with LOVE?
Yesterday, at a couples' dinner that was put together by our organisation, We had different sessions that dealt with relationships, sex, communication in marriage, what to do when communication breaks down, handling family finance e.t.c.
The session on Family Finance attracted the most comments, questions and heated arguments. And I felt I should share some of my views with you today.
The following are some of the symptoms of wrong financial system in the family:
Regular quarreling: between you and your spouse shows that you are operating a wrong financial system in your family. More importantly, it reveals that there is a disparity in financial views and probably a lack of trust. Continuous misunderstanding in the area of finance at home is a sign that both of you and your spouse are not mature in the area of family finance; you need to improve on that.
Family Replacement: If you hustle for money at the expense of your family, if all you do is to look for money all day long with no family time, no time for your spouse or your children; then money is working against you and you are working on a wrong financial system. The best gift you can give to your family is your time. How can you prove to them that you love them without spending time with them? You have to create time for your family.
Wrong Money Usage: There are good and bad ways to use money. That is why you need to sit down and take stocks of your life. Check where your money is going; if it has been going into negative ventures then you should know that the future is bleak as your spending will definitely affect your family negatively.
How do you ensure that money works for your family?
Making money work for your family is not a one-day event, it is a life-long experience.
Yet, the importance can never be over-emphasized.
It will not only ensure that you have enough to meet your family needs and obligations, you will also be able to even build wealth for your family. When you do it right, you will also build trust in each other.
START AT THE BEGINNING...
Both of you will now have to sit down and develop a marathon mentality for investment.
It is a decision that both parties must take. if only one person is committed to a better financial system and the other is indifferent, the one person who is desirous of change will eventually feel frustrated.
You need gut and graft: You need gut, you need determination, you need to close your eyes to present accolade and look up to the future ovation, move forward at a time and win the race for your family TOGETHER.
Discipline Yourself: One thing you need more than anything else is discipline, when you are setting a new course for your family finance. Discipline is the mother of distinction.
Don't buy what others are buying because they are buying it and never buy to impress anybody because the people you want to impress are not really impressed.
COME TO THINK OF IT...
Can you imagine running any company, business organisation or your home-based business without any form of financial system in place? Yet, that is how we, often times, treat our finances. That is definitely not good enough.
One principle that has worked for my family and that I recommend to people is that you should handle family financial issues OFFICIALLY. I know that may sound kind of boring to many of us, but it works. It is the first lesson in financial eduaction and intelligence that you and your spouse must learn.
I have realised that those who handle even personal financial issues officially fare better than those who don't have any structured plan on how to make, spend or invest. The same principle apply to your family's finance.

Article Source: http://EzineArticles.com/3355165

Family Financial Planning - An Important Part of Any Family's Success

Family financial planning is perhaps the most important part of the happiness of a family. One cannot have a happy family if one has to constantly worry about money. That's why it is important that parents and parent-to-be understand how to plan their family finance in advance.
The term "family planning" often used interchangeably with the words "birth control". Family planning involves the planning of the birth of your children at chosen times and the spacing of births a few years apart.
Having a good plan before marriage can save a family from lots of unexpected events. The couple will have time to focus on their work and their job and save enough money before having their first baby.
Having children less than 2 years apart or more than five years apart can affect the healthiness of the mother and the children. And by having too many small children the parents lose the ability to educate them to their fullest. The parents will not have time for each kid and some kids will feel neglected. As parents, we have the responsibility to provide food, clothing, education and shelter for our children. By having children at the right time, we are at our best to provide them what they need.
We can use many contraceptive methods to prevent unwanted pregnancies. Knowing and recognizing the importance of birth control is the first step to family finance. There are many organizations that will provide sexual education as well as free or inexpensive reproductive health care around the world so that even low income families have a chance to plan their family finance.
Family financial planning plays an important part in the success of any family. Before having your first child, you should plan well the resource your need to educate the child and any subsequent children to the best of your ability.

Article Source: http://EzineArticles.com/4618788

Top 5 Tips to Keep Your Family Finances in Great Shape

Your goal to provide and maintain your family relationship at a perfect level correlates with the way you want to maintain a stable family finance. This is not really a big thing to ever dream of as we can all keep up with our family finances as long as we monitor everything closely regarding the family's financial activities and concerns.
A careful planning is your key to keep your family finances in great shape at all times. To carefully plan your way to an effective family finance issues and stability, here are the simple but incredible tips for every family to adhere.
1. Establish a bookkeeping record or system. A popular tool here is the Quicken software. It helps you keep track of your expenses on a weekly, monthly or yearly basis.
2. Keep all receipts intact. Whether you bought a single item for a small amount or a bulk product, do not let any of each day's receipts slip in your hands or be thrown directly to dust bins. Every receipt counts and you should have an agreed place or storage to keep all receipts to be posted into your online bookkeeping system intact.
3. Enter all receipts being covered for the week. Your weekly receipts may be classified as expenses or income or may fall into another sub-category.
4. Select a category that best fits each receipt for faster access and allocation.
5. Update your records weekly. Since your account is being reconciled online, it is best to enter additional details and receipts on a regular pattern each week. This gives you more time to review weekly finances and lets you prepare carefully for next week's financial activities.
Valuing the Bookkeeping System
Following a careful and strictly maintaining a regular bookkeeping system online keeps all bills on track. It even makes every bill easy to pay without any delay.
There are other reports that this system generates. These are the itemized categories report and the cash flow report. This bookkeeping system automatically updates your account and provides innovative real-time solutions to your family's finance puzzles.
If you are new in fixing your family finances or still in doubt about its efficacy, a regular 15-minute session with your online bookkeeping system could help you catch up very well with your financial issues. Once you feel stable and at ease with the system, work out your family finances and record keeping activities on a regular weekly pattern. Soon, you will greatly see its real positive and delightful impact on your family relationship, money matters and even to your health.

Maryrose Malinao is an internet marketer, researcher, teacher and an online supervisor for international services. She loves to share current trends in the online world especially about international business concerns on the road to quick wealth and success for lasting impact.

Article Source: http://EzineArticles.com/4449839

Christian Parenting: Family Finances Money Saving Guide and Financial Planning

Keeping the household budget under control can be difficult for most families, even those that have high incomes. If you have loans, high credit card bills, debts or lack of finances you may be struggling to budget effectively and this may create family conflict as well as lack of ability to plan for future commitments such as your children's college funds or sufficient investments to keep you in retirement. Financial awareness is important not just in times of recession but also when spending leads to living beyond your means. These can all be causes of stress and anxiety. Being able to spend wisely is a good way of teaching your children skills for living as well as reducing stress making situations within your family.
Here are some financial tips that can help you if you are struggling with sorting out family finances or if you want to reassess what you are doing with your income and expenditure.
Personal Finance
You may be surprised that if you sit down and work out exactly what your outgoing's are in relation to your income in an honest way you can begin to become clearer about how to budget to meet your needs. Many people go through their adult life not being aware of their real income and expenditure and remain distressed month after month when there is a short fall. Some people stay consistently in debt just because they are too scared to do the math. If you want to lessen this feeling of panic then consider personal financial counseling, it will help you to sort out your concerns and assist you to start getting control without needing to go to the loan sharks. If things are really worrying consider debt consolidation if needs be but do not put your head in the sand. However, If you have money left over after doing budget monitoring then you should consider putting it into a savings account to obtain interest not blowing it all at once. There are also personal finances software and free family budget planners which you can use on line to help you assess your family spends including monitoring over time.
Saving money
Most people will need to save money for big expenditures, such as education fees, the purchase of property or to buy a car for example. The earlier on in life you can start saving the better because of the "law of compound interest". This states that you make money on the interest your savings gives you as time goes by. But this really only works if you do not touch the money you are saving for some considerable time, usually all your working life and that you invest regularly. Most people unfortunately are not in this position, and you should not do it if it caused strain on your overall budget, but shorter periods of saving and ad hoc amounts when you can afford it will still give you better results than if you did not save at all and had to take out a loan.
Credit cards
Pay off your credit card bills before you consider putting your money in a saving account or in any other investment. In fact if you have money in a savings account and have unpaid credit card bills it doesn't make sense not to pay your lenders as the interest charged on credit card and store card debt is many times the amount than the interest that you can get from saving your money in the bank or in a savings account. You can always start saving again but if you have debt hanging around over your head this will continue to have an emotional impact on you and your ability to be in control of your finances.
Some people play the credit card swap game of transferring debt from one card to another at zero interest rate for a limited time, and then swap to another just before this cards interest rates rises. There are many benefits of doing this and the credit card companies encourage it by offering cash back, air miles and other rewards but you should do it with caution because as if you are not able to keep track of the time when the interest free only time runs out and swap cards you will have to pay the full rate which as we know, is very high.
Saving accounts
Not all savings accounts are born equal and you should research the best one for your needs, but do not let that stop you from embarking on regular saving. Even if you think you have found the best savings account a new deal may come on the market, however make sure that paying any early penalty withdrawals is worth the effort of swapping accounts.
Family Insurance
The best type of insurance to invest in for your family, over and above the obvious such as house, car and medical insurance should be the kind that meets your family's unique needs. Dental insurance, pet insurance, musical equipment insurance maybe the types of insurance that without it your family's crucial day to day wellbeing would suffer, not just as an extravagance but a necessity. But assess all of the insurance covers you have taken out and make sure where some overlap you are not paying out twice for cover such as for payment protection plans on loans credit cards, lost keys, travel insurance.
Discount Finders
Families are really getting wise to the benefits of buying products and services online as there are huge discounts to be made by buying this way. In addition there are online websites and forums where daily discount vouchers can be found. Price comparison sites are also useful to compare prices and get the best deals on line when you are shopping.
As a family you can work together to understand your budgeting needs and how you spend and prioritise what you need. Lessen the stress of finacial issues by getting good money advice and seeing what makes the difference for you.

Article Source: http://EzineArticles.com/5617971

The Techniques of Family Financial Planning

For numerous families a controversial subject is family financial planning, as on many occasions it seems as if the money coming in is never equivalent to the money going out. It always seems that there is more money being spent than what is actually being gained by the family. Every family needs to take control of their finances by effectively planning and eliminating poor spending techniques.
A good technique is to use the services of an expert financial advisor to help with the family's financial goals, as leaving your finances unsupervised could result in your finances getting out of control. The financial advisor should help you by ensuring that you have a family budget and that you eliminate wasteful spending, decrease high interest debts and transform your debts into wealth.
Another Technique to enhance your family's financial standing is to devise a strategic plan geared towards reducing your debt exposure and consolidating the family's debt into one lower interest loan. For example with increasing problems associated with credit cards, it is recommended that you destroy all the credit cards except one, so as to avoid the additionally debts.
To effectively plan and maintain good finances, your family will need to undertake more money saving programs and less spending, thus focusing more on long-term goals rather than short term spending. It's a good idea to get your family involved in long term financial viable investment schemes and programs.
Your family should engage in cost containment practices for a better financial future like distinguishing between wants and needs when shopping, saving on electricity and other utilities and buying grocery and food items in bulk. These cost saving techniques and many others will ensure that money is not being squandered or wasted.
Family financial planning techniques should be employed to secure your family's future and well being, as you will definitely not want to find yourself in a position where you fear retirement or those college tuition fees, because of a lack of financial preparation.

Article Source: http://EzineArticles.com/3985179

5 Tips For Managing Your Family Finances Successfully

Day by day as inflation is increasing but real income decreases, it is important to make sure you have a plan to maximize your financial resources. With a plan like a family budget, this helps to ensure that every cent you earn is well spent.
When is the best time to do this? The answer is now. Now is the best time to start the process of looking over your family finances in terms of spending and savings. By taking time to access and setting up a budget can affect the way you use your income as well as helping you and your family to be on your way to economic stability.
In accessing your situation and planning a budget, there are many factors to be considered. Factors such as your source of income, lifestyle, spending habits, current jobs, cost of living, debts and loans. All these factors will determine your budget needs and how successful your budget will be.
Below are 5 tips and recommendation that will provide some details to you on how you can manage your family finances successfully. Hopefully with this you will look at budgeting differently and become more responsible in spending money.
1. Try your best to save as much as you can when you are doing your shopping. There are many ways to do this and one of them is to do comparison-shopping using the Internet before your usual shopping. You can also do that while you are shopping too. By practicing this as a habit, this will save you money in the long run.
2. Another tip is to purchase in bulk if possible. Then you can use coupons or wait for special sales or when the stores are offering discounts. Again you can do this online or make phone calls.
3. Do not gamble. This might seems obvious but it is a known fact that gambling is one main factor that causes financial ruins. Gambling not only waste your hard earned money but may even results in unpleasant legal action which eventually leads to bankruptcy over the long run.
4. Learn to differentiate what are your needs and wants. Always practice to limit your spending to things that you really need and not things considered as want. Studies had shown that luxuries are only second to gambling in terms of the money wasting capability.
However it does not mean that you cannot purchase things that you want. Just make sure that you had planned ahead for the said purchase and that the purchase does not over shoot your budget and laden you with debts.
5. Do not over spend. What this means is not to spend more than what you earned. Again this tip is very obvious but sometime we just do not heed what is obvious and logic. If you spend more than you earn, where will there be money left to save and invest? This is why making a budget is important.
With a budget, this will help you to consider the amount of the purchase and how it will impact your finances and life. Do take time to create your budget and as well to think before you buy and living within plus sticking to your budget will be easier.
Hopefully with the above 5 tips, you had found them useful so that you can successfully manage your family finances and be on your way to achieve your family financial goals.

Article Source: http://EzineArticles.com/1146298

Family Financial Planning

The financial fortunes of most families tend to fluctuate over time. However, everyone wishes to have a smooth, well planned finance plan in place, so that such fluctuations do not affect them adversely. Hence, a proper planning is necessary for maintaining the economic balance of a household. Family finances need to be handled expertly, so that a household can face any possible economic scenario. Indeed, most of us often do not have the skill or expertise to perform finances managing tasks properly for ourselves. Hence, expert advice from financial advisors is often sought for in this regard.
While handling finances for families, most professional financial planners would provide certain basic tips to their clients. Such useful guidelines for effective financial planning for family include the following:
o Proper finances managing require that families do not spend too much on rather unnecessary, luxury items. Rather, focus should mainly be on buying the necessary items,
o For successful planning, individuals need to have specific targets and goals, regarding the rates of return or savings they (s)he wishes to achieve from the finance markets. Such financial targets, however, need also be realistic, so that they remain achievable, providing the desirable benefits to families at the same time,
o A family need to be prepared at all times for an emergency situation. Unnecessary expenses can be cut down , provided the necessary prior financial arrangements are in place,
o There are several tax benefits and incentives that are offered from time to time by the authorities. Taxpayers can avail of these benefits effectively,
o People should have an eye on the future while managing the finances for their families. Probable changes in the economic scenario should be kept under consideration too,
o Retirement planning and estate planning are two of the most important components of financial planning for family. There generally exists a trade-off between the two as well. Retirement planning requires individuals to store away a portion of their income in view of their impending retirement. This brings the money currently available for spending on new estates. Hence, a proper balance between these two components need to be achieved,
o For effective finances managing, families need to identify the main crisis situations that they might be faced with. The major crisis situations for a family include pay cuts, loss of jobs, health-related problems, divorce, or even natural disasters. A proper strategy to guard against the impact of such scenarios should be present.
Handling family finances in a wise, informed manner can prove to be a tricky affair. Hence, it is imperative that people take into account all aspects of planning, and, if necessary, hire the services of a professional financial advisor.

Are you looking for a financial professional, but not sure how to choose one? If you don't have the time to conduct thorough research about family financial planners, fill out a short form and let our advisors contact you. Our experienced consultants will send you the names of planners who are qualified and willing to help.

Article Source: http://EzineArticles.com/2253664

Family Finances - A Role For Both Spouses

Dad mows the yard, cooks all the meals, and handles all repair jobs. Mom does all the grocery shopping, is in charge of taxiing the kids to their 'practice du jour', and takes care of the laundry.
Division of household duties such as these sounds all too common these days. In most cases, the handling of family finances falls to a particular spouse as well. However, when it comes to the family finances, it is imperative that both spouses play a role. If not, the result could be a devastating blow when a spouse is left to pick up the pieces.
The primary risk faced by a household which has one spouse managing the family financial affairs alone is that the other spouse is left completely in the dark. Being the financial decision maker in the family, if something were to happen to you would your spouse be able to step in and manage the family wealth? More times than not, the death of a spouse is the immediate situation people think of. But the same can be said about being a spouse of a soldier being sent half way around the world for the next year, or someone who is too ill to continue handling the family finances. Even if you expect your spouse will turn to a financial planner or advisor for help when you are not available, will your spouse even know where to look for such help much less what questions to ask?
Taking a proactive approach to bringing your spouse up to speed on your family's finances will pay huge dividends in case the time comes when you are not around to assist. Most financial advisors will agree that there are six questions your spouse needs to be able to answer regarding your family's financial picture.
1. Who Do I Need To Contact?
This first step is the most critical. Your spouse needs to have a well prepared list drawn up for him or her listing your important contacts. These include, but are not limited to, financial planners, accountants, attorneys, insurance agents, and bankers. Anybody who has a role, as slight as it may seem, in your family's finances needs to be on this list. For each person on the list you should include their names, company names, addresses, phone and fax numbers, and email addresses. A brief overview of what each one of these individuals has done for your family would be beneficial as well.
2. Where Is Everything Located?
Your next step is to outline what assets are held and where they are held. These assets include not only any personal investment accounts, but also company retirement accounts and insurance policies. Other documents of equal importance are your wills and ancillary documents, such as your Power of Attorney documents and Living Will. If you currently do not have these documents in place, it is critical you do so as soon as possible.
Organization is critical. A well-organized filing system will lighten the already mounting stress felt by your spouse or loved ones forced to pick up where you left off. Start by creating folders for each investment and bank account, estate planning documents, insurance polices, etc. and be cognizant in what information is contained in each. For example you will want to keep investment account statements and trade confirmations, but you can throw away annual reports, prospectuses, and marketing material. With insurance policies you will want to keep the policy statement that is currently in force, but you can throw away older policies that have lapsed.
Once this has been done, consider creating a master directory that lists all of your accounts and account numbers, names and numbers to the appropriate contact person, any website addresses and login/password information to gain access to your accounts. Store this information in an ultra-safe place such as a home safe, safe deposit box at your bank, or in a password-protected file on your computer (and make sure your spouse knows that password!).
3. How Are We Doing Financially?
Your spouse does not need to know about every trade you make and every stock you may own; however, you should sit down as a couple from time to time and review your current financial picture. How much do you have now and how much of that is liquid (how easily can it be converted to cash in an emergency) are just a few items to discuss. Are you on track to reach your shared goals? If not, what steps need to be taken now to get you pointed in the right direction?
Deciding how much to spend, save and invest each month is a basic discussion that every family needs to have, and both partners should be involved in those decisions. There is a saying: It is best to discuss your finances on the 1st than to argue about them on the 31st.
4. In What Order Should I Access Our Assets?
While some of your assets can be accessed at any time, drawing on other assets may result in unnecessary fees, penalties and taxes. Your spouse needs to know which accounts and assets to tap into first should the need arise. He or she will need to know which assets are more liquid and those that are not. The standard rule of thumb is you will want to have at least three to six months of living expenses in a highly-liquid account for emergencies. Ideally, this will be held in savings accounts, money market funds, or certificate of deposits (CDs). If you are retired and are dependant on your portfolios for living expenses, a good target to shoot for is two to three years of living expenses in highly liquid accounts.
5. Who Do I Turn To For Help?
You may be the go-it-alone type when it comes to your investments and family finances, but it may be unrealistic to expect your spouse to follow in your footsteps. It can't hurt to assume the possibility that your spouse will be in need of a financial planner or advisor. Start asking your friends and co-workers if they are working with an advisor or could refer you to someone.
As with most professions, numerous professional designations exist in the field of financial planning. The most widely recognized is the Certified Financial Planner (CFP®) designation. Financial professionals who carry the CFP® designation have been educated and tested in all areas of financial planning, including estate, insurance, and tax planning - not just investments. Additionally, they must maintain a required amount of continuing education each year and adhere to a very strict code of ethics. Other designations in the industry include the Chartered Financial Consultant (ChFC), Chartered Life Underwriter (CLU), Certified Personal Accountant (CPA), and the Personal Financial Consultant (PFC), and most of these designations carry education and continuing education requirements as well to maintain the credential.
In the end, however, you will want to find a financial professional who shares your philosophies on life and your finances, and has experience working with others who have needs similar to yours. Professional designations are important; finding someone you trust is critical.
6. Where Can I Learn More?
Even with a financial planner or advisor in the wings, it is important for your spouse to know where to turn to build a basic foundation of financial literacy. For a spouse that is not used to finances, more times than not any book on basic investment and financial topics won't fall into the 'I just couldn't put it down' category.....it won't be a fun read. Having a handful of commonsense investment and personal financial planning books will, however, provide a lot of useful information in an easy-to-digest format. A few examples are The Only Investment Guide You'll Ever Need by Andrew Tobias, and A Random Walk Down Wall Street by Burton G. Malkiel.
Another option to consider is taking a personal financial planning course at your local university or community college. Non-credential courses are very affordable and are offered at various times and days of the week to conform to your schedule. More importantly, it can provide enough information to make the transition from having never touched the checkbook to actually running the family finances much more seamless.
Nobody wants to think about life without their spouse. Not having your financial ducks in a row, along with a financially-educated spouse who will be able to pick up the baton and run, will only make the transition that much more difficult.....both emotionally and financially. Take the time to sit down together and start this indispensable process.

Matthew T. Russell, CFP® is Founder and President of MTR Financial Services, LLC. He offers over 16 years of fee-only financial planning and investment management. In addition to counseling clients, Matthew provides speeches throughout his community on the various aspects of personal financial planning including budgeting, investing for retirement, estate planning, and educational savings options.

Article Source: http://EzineArticles.com/3538747

3 Tips to Run the Family Finance

In any contemporary society, three classes of couples could be identified, namely: the salary earning, the self-employed and the one employed/other self-employed couples respectively.
The Salary Earning Couple -The salary earning couple simply means that both the husband and his wife are gainfully employed either as public servants or factory workers. In this case, their income is fixed, prompt and regular, too.
The Self-Employed Couple -The self-employed couples are into private business either jointly or severally. In this case their income may not be fixed, prompt and regular.
The One Employed/Self-Employed Couple -One of these couple is gainfully employed with a fixed, prompt and regular income. The other is into a private business wit a non-fixed, non-prompt and irregular income.
The Ideal Status
Irrespective of above classes of couple, it is ideal that the husband's income be higher than that of his wife as the bread-winner of the home, according to the biblical stand point. A husband would stand his grounds where he does not shy away from his financial obligations and responsibilities to his wife. He must not be among the class of husbands who cleverly shift their financial responsibilities on their wives.
However, most women, by virtue of their educational status and parental influence earn more than their husbands either as business merchants or public servants. It is not biblically ideal for a husband to be under the control, influence or manipulations of his wife's finances. Nevertheless, he should not be too spiritual or envious that he rejects here financial assistance. Most women are tenderhearted, merciful, generous, loving and caring. They could give everything they have to their husbands, shouldering his financial responsibilities but on the condition of trust.
The financial management responsibilities in a Christian home are the exclusive preserve of the husband but not without his wife. They should make their budget and agree on their expenditure not as individuals but a couple.
Budgeting is not only vital but also essential to effective Financial Management in a Christian Home. This budget includes items such a Tithes, Feeding Allowance, Rents, Electricity and Telephone Bills, Transport, Fuel and Maintenance of the car, waste Disposal, Children's Allowance, Savings and others. Budgeting allows for the allocation of sufficient funds to each of the items. The husband could keep labeled envelopes for each item. The wife must conduct a market research prior to the family budget to compare the prices of items to buy, having the overview of the market situation as it affects or may affect their budget.
Restricted Expenditure
A Christian couple must live within their income. They should not borrow except for capital expenditure. God's commandment in this respect as contained in Deuteronomy 15.6 is that: "you will lend unto many nations but you will not borrow." Ellen G White in her counsel on Stewardship wrote, as follows: "Many, very many, have not so educated themselves that they can keep their expenditure within the limit of their income. They do not learn to adapt themselves to circumstances, they borrow and borrow again and again and become overwhelmed in debt, and consequently they become discouraged and disheartened. We should be on guard, and not allow ourselves to spend money upon that which is not necessary, and simply for display. We should not permit ourselves to indulge in tastes that lead us to pattern after the customs of the world, and rob the treasury of the Lord."
Several marriages ended up in divorce because of greed and lack of budgeting. For example, a civil servant on grade level 03 would buy an elegant food flask in the month of January, latest shoe design in February, expensive attire in March and so on, throughout the year. At the end of it all, he would argue that any civil servant, irrespective of his level, who succeeds in life, is a pen-robber!
Family Finance -Planning and Policy
The income of a Christian couple is better managed, using the economic tool of a scale of preference, with a clear boundary between the family needs and wants. It could come under the following Financial Policies:
Subsistence Economic Policy -In this home, all members of the family, including the children live on wages. They all contribute directly or not, to the Family Economy. For example, the child may have to play the gardener for a living in the home. As a girl, she may play the Nanny or Sales girl or something else!
Socialist Economic Policy -In this home, the couple, with or without other members of the family, contribute equally or otherwise to the upkeep of the home., Decisions as regards the family expenditure are taken by one partner on behalf of the other. The husband and his wife are joint owners of the family heritage.
Capitalist Economic Policy -In this home, there is a sharp division between the breadwinner and other members of the family. Usually, the husband is the breadwinner of the home. He dictates what should be bought, why, when and how! He makes sufficient provision for his home, without having to look up to his wife for any form of financial support. He sets up a business for her with the expectation of returns via the preparation of sumptuous meals, beautification of the living room and the meeting of other variable needs.
Communist Accounting Policy -In recent times, there has been a widespread propagation of the "common purse" or "joint account" policy of effective money management in a Christian home. Some couples have practiced this policy successfully while others have failed.
The Need to Tithe
Christian couples that desire to have surplus budget must be obedient to God's commandment on tithes and offering. It should be the couple's priority to separate one tenth of their gross income as God's rightful due. In Malachi 3.8-11, it is explicitly stated that non-tithers are robbers of God's treasury who are under the curse of poverty, lack and want! The biblical reason why many Christians toil fruitlessly is because of their disobedience to this commandment.
"You have sown much, and harvested little: you eat but you never have enough: you drink, but you never have your fill: you clothe yourselves, but no one is warm; and he who earns wages earns wages to put them into bag of holes...you have looked for much, and lo, it came to little, and when you brought it home, I blew it away. Why? Says the Lord of hosts". Because of my house that lies in ruins while you busy yourselves each with his own house -Haggai 1.4-11
The Need To Save
The problem with some Christian couple is in their inability to save for their future. This is due either to insufficient income or wrong interpretation of Matthew 6.19 that: Do not keep up for yourselves treasures on earth. In both cases, these couples are wrong. In the first instance, if they could not save Ten Dollars out of every Hundred Dollars earned as income today, it will be impossible for them to save Fifty Dollars out of every One Thousand Dollars they might earn tomorrow. In the other instance, not laying up treasures here on earth does not refer to savings.
Treasure is a vested and acquired wealth or property in which one's interests and desire incline to. Savings is something that can be conveniently put away for a period of time and for a raining day. Our world is full of uncertainties. Erosion, flood or fire disaster may destroy lives and properties. The child could be sick of fever. Parents, friends, or relations could make financial demands. Above all, the Church could call on us to give to charity and the cause of evangelism. Ellen G. White wrote that "We sin against ourselves when we are satisfied with enough to eat and drink and wear. God has something higher than this before us. Even though they may be poor, the couple who is industrious and economical can save a little for the cause of God, success and charity."
It is not sinful to save. It can be sinful not to save. One hindrance to savings by the above stated couple is their faith in the belief that this present world would come to an end abruptly someday. But their ignorance is in the fact that this someday may not come in the next one hundred years! In this instance their savings would be a preparation for their old age. Also, other Christian partners and missionaries would need our savings for the continuous propagation of the gospel prior to the arrival of Jesus Christ.
Three vital questions to savings are: when should one start to save, how much should one save and, by what method?
1. Start to save as soon as you collect your first allowance. Salary, wage or gift. As a couple, begin the very first night of your wedding, especially with your wedding gifts and presents.
2. Save whatever you can conveniently put away, knowing that" little drops of water make a might ocean" Save at least five Dollars out of every fifty. Put aside a certain percentage of your income for a defined period of time to start a project, trade or purchase home equipment. For example, put away X Dollars every month for twelve months to buy a Refrigerator or Y Dollars monthly for twenty-five years, to build a house. It is possible!
3. Several other methods of savings include Property acquisitions. Buy don't sell. Buy radios, television and video sets. Buy Refrigerators and Air-conditioners. But make sure you invest in properties whose value appreciates. They should have second-hand value. Besides, they must be materials that are needed at home for production purposes, not for showmanship. Put money into a fixed account. Save (y) Dollars every month for twelve months and then transfer it into a fixed deposit for five or more years. Buy shares in growing companies. Take a policy with a reliable insurance company. Go for life policy, Education fund. Buy landed properties for resale at a later date. Buy and refurbished cars for sale. However, be cautious. Do not save more than you can conveniently afford. Striving to save two thousand Dollars out of an income of Five Thousand Dollars may be frustrating!

Article Source: http://EzineArticles.com/3541922

Family Finance Planning For Beginners

When it comes to planning for your family's financial future, you're going to need to analyze your family financial planning. Everyone's different when it comes to family financial planning, and each individual as well as each family is different. If you're not familiar with family financial planning it's important that you seek out a professional so that you can secure your family's future.
When it comes to family financial analysis, you'll be analyzing several different areas. Not only will you take a look at your cash flow, your debt management, but also will be looking at retirement planning, and educational funding options.
It's important that you understand how all of this planning can affect not just your future, but your children's as well. Many times families grow up before you know it, and the kids need to head off to college, without family financial planning, you may have to depend on scholarships.
Many families wind up in terrible debt due to college situations. How can you tell your child after they worked hard for 12 years that they cannot go to college because you didn't plan for it? Therefore it's vital that you take family planning into consideration as early as possible in your children's lives. Analyzing how you're going to save for college is what it's going to take in order to make sure that their future is secure.
Children who do not go to college in today's world are not as likely to succeed. A college education is almost mandatory for just about any job these days. Although technical schools are often an option for those who do not qualify or cannot afford college, even technical schools cost money. Without family financial planning, there's a good chance your children will not go on to higher education.
Seek out a financial analyst if you do not already have a family financial plan. It's vital that you plan for your family's future. A financial analyst will allow you to understand how what you do today can affect your children and their future. Not only do you need to protect your children and their college future, but you also need to protect yourself.
After all, you don't want your children to feel responsible for you in your old age. Instead you'd like to be able to help the young family out because you have a good retirement and a financial analyst can help you secure your future.
Family planning and family financial planning should start as soon as you feel you're going to have a family. If you're not familiar with cash flow, educational funding, retirement planning as well as estate planning and investment analysis, it's time to seek out a family financial planning expert and have your family's financial plan analyzed.

http://goarticles.com/article/Family-Finance-Planning-For-Beginners/1214955/