If you’re a couple with a young children, you’ll be able to appreciate that the costs involved in raising them can be expensive. Naturally, you’ll want the best for your children and will try your hardest to give them a comfortable and nurturing childhood, but sometimes we can struggle to do this financially.
There are steps you can take though to help get your finances in order and help you put aside money for your family’s future.
Calculate your income
The first thing you need to do is work out your income – in other words, what your wages bring in after tax. Then by looking back through old utilities, shopping receipts and payslips you can work out roughly how much you spend on the essentials. With this information you can also then approximately work out how much you have left over each month.
Set up a joint account
It’s a smart move at this point to set up a joint account where you both put in equal monthly payments to cover the cost of the above essentials. You should put in £50 more than you think you need just to be on the safe side; this way you know exactly what your budget is.
Set up an ISA or savings account
Depending on how much you have left over, you should think about the financial future. Set up a savings account like an ISAs and set aside as much as you can afford each month. This can be for your children to use in the future or for any unexpected costs you encounter.
Protect your main assets
To help avoid these above unexpected costs (things like car repairs, replacement white goods or home issues) a simple trick is to look after them. This ranges from driving in a more careful manner to avoid depreciation, to keeping your house clean and getting boilers or your systems serviced annually.
With all of this though, communication is key. Make sure you and your partner are in agreement about all financial ventures and think about what your children’s needs might be in the coming years.
As aforementioned you’ll want to give your children the best chances in life and a big part if this is down to being financially secure. So consider the above points and give some a try and soon your family could have the support it needs. Finally, another positive to all this is it can indirectly teach your children the importance of being sensible with money; again putting them in good stead for the future.