Family Money Management - How To Survive the Hard Times

Good family money management is more important than ever during these uncertain times. We all need to learn how to manage our money. Making sure that your family is on board with your plan is extremely important. This article will give you ideas on setting up a Family Money Management plan.

Limit your spending

The most important step for family money management is to watch your spending. As much as you would like to go out for dinner and a movie, or buy some new clothes, resist that urge. With the extra money that you save, you could be saving for your daughter's wedding, or putting yourself back in school or even paying off the mortgage on your home faster.

Set Goals

When you set up goals in your family money management plan, it makes it easier to accomplish them. You may want to pay off all of your credit cards or get rid of that car payment. Figure out how much extra money per paycheck you can afford to send to send in addition to your normal payment and plan on sending it every month. Once you pay off one bill, put the full amount of the bill you just paid off to the next bill you want to get rid of.

Prepare for emergencies

We have all had those unexpected doctor appointments that come up. Your family money management plan should include setting aside some extra money in a savings account in case of emergencies. Plan on putting twenty or thirty dollars into your savings account and only use it for an emergency such as medical emergencies or if your car breaks down. You need to talk with your spouse and make sure that he or she knows not to use it for anything else.

What you need to do

In order to start your family money management plan, you need to sit down and figure out how much you make in a month. Then you need to decide how much money you want to allocate to your monthly bills. You should plan on setting aside some for any emergencies as stated above. Be sure to include any expenses for your vehicle. This would include gas money, insurance, plates, parking etc. Also, include your groceries and other things you need around the house.

Any money left over can be put into your savings account or simply kept in the checking account for other unexpected items such as if your child is invited to a party.

Be sure to talk with your family about your plan. If your kids and spouse are on board with your plan, it is likely that they will not ask for money for unnecessary items. This will also set a good example for your kids. They learn by what you do. If you have a good family money management plan, chances are good they will grow up having no problem budgeting their own money.

Article Source: http://www.wahm-articles.com

Darlyn Burkle of www.I-Choose-Us.com, offers resources to show women how to survive a depression and thrive through the financial crisis. The 52-week Money Saving Toolkit helps women save and earn extra money. It covers practical money saving tips for saving on food, utilities, mortgage, gasoline, entertainment, college education, travel, gift-giving, and more.

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