With each parenting milestone, sticking with your plan and budget is key!
No matter where you are on your financial journey, Mainstreet Credit Union is here to help!
You’re a parent now, and with that comes worry. With some planning, preparation, and discipline, some financial worries can be eased.
Your income and expenses have both expanded and you should be better at budgeting and saving by this stage. Living by the budget is critical to be able to find extra savings for the many short- medium- and long-term goals you are likely to have at this stage. Revise and fine-tune your budget periodically to reflect your income and need for savings. Invest the savings to build a portfolio that supports your goals and provides growth, income or liquidity as needed.
How to create a solid plan to reach your financial goals:
Budget & Save!
Maintain a budget that is manageable and remember to save! Look at your expenses versus your income. Determine if you are living within your means. Are there some items you can cut out of your spending to save more?
Watch Your Debt
Debt management is a critical function at this stage because it is common for needs to outpace your available income. Monitor your interest rates. Refinance your high interest auto or home loans to save more and pay down debt faster. Consider consolidating your debt with a personal loan to lower your interest rate and save money in the long run.
Understand Your Credit
Keep your ability to repay in mind while adding debt and ensure you do not harm your credit score or credit history. You shouldn’t have to dip into your retirement savings, insurance protection or your Emergency Fund to pay for additional credit. Borrow primarily for appreciating assets where it will help grow your net worth over time.
Invest In Your Future Self
Start saving for your children’s collage now. Is it time to invest in a larger home for your growing family?
You can always call or visit a Mainstreet Credit Union branch to have a one-on-one meeting with a Member Experience Officer to gain knowledge and insight on how to build your budget, how to lower your debt, increase your credit score and find the right investment option to fit your family.