Whoever said adulting was easy? Exactly. No one! It’s a whole lot of bills, bills, bills. Even more so when there’s more than just yourself to consider. Your personal finance as an individual can be tough enough to manage if you’re not careful but the bills that flow in for a family are enough to make anyone dizzy. No matter how large or small your family, managing family finances is a daily activity for every household and it’s never easy but it can be made simpler.
Whether your aim as a family is to get out of debt or to buy a home, there are four basic steps you can take towards managing your family’s finances.
4 Steps to take towards managing family resources
Discuss your financial goals.
Know where everyone is financially but also where everyone wants to be financially.
Have separate accounts
In a marriage, you come together financially but you also need to have separate accounts. Extreme Couponing Mom explains that this encourages financial independence. While this independence is important, she also stresses that communication is key to avoiding missed payments resulting from each person not knowing which payments they are in charge of.
Create an emergency funds account
Aimee of Extreme Couponing Mom recommends ensuring that you have up between 3-6 months worth of household expenses saved up at all times incase of a situation where household income is suddenly cut off.
Pay all your bills on time every time
This way, you avoid late fees which lead to loss of even more money! Stacey of The Soccer Mom Blog advises you set up automated payments for your bills to avoid missing any payments. Either set up reminders in your calendar or set up direct debit payments for them.