How many financial prep tasks have you gotten out of the way? There’s quite a few to be sure of, like eliminating debt, setting up investments, etc., that can all be done in good time. But some tasks can take a little more precedence than others.
Getting them out of the way now can prepare your family for a healthy financial future. You don’t have to wait for a certain age or point in order to get yourself on the right pathway toward financial success.
And when it comes to your kids, letting them know how to set themself on the same journey is a key thing to do when they’re still young. Because of that, it might be best to go through the prep tasks below and see if they still need checking off of your list.
Save for a Rainy Day
Easier said than done, as we all know! But even if you have little to no savings in the bank already, and you’re not sure about the room in your budget right now, something is better than nothing.
Saving money bit by bit is not only good financial practice, but it also sets a precedent for your kids to follow. When they reach their teen years, they’ll know without a doubt that having some money there just in case is better than spending it all as soon as you get it.
As their parents, you’ll have a rainy day fund in place to keep your house standing around you, to ensure a hospital trip doesn’t get too expensive, and to help them buy something momentous, like their first car.
Draft Your Will
Everybody should have a will in place. It’s not a great thing to come to mind, but you can never be sure when and where your time will come. As such, getting a will drafted, witnessed, and properly finalised will do more for your kids’ financial future than most other things.
You can use Wills & Probate Services to ensure this process goes off without a hitch, that all of your assets have been included (quite a few people miss out things like digital assets), and will be handed down to the right person when the time comes for it.
Work on Your Credit Score
Credit scores can be variable depending on the company reporting on them, but they all tend to have one thing in common: what zone you’re currently in. And if your credit score falls into a zone you’re less than satisfied with, it’s time to start working on building that up again.
Again, this is another great lesson for the kids to know about. Credit scores and reports can be mysterious concepts even to a lot of adults, so getting a handle on them will set a responsible example for your whole family’s financial future.
If your kids still have a few years before they turn 18, lead the way for them with the financial prep tasks above.