Strategies to handle your finances when married with kids can make or mar a marriage
Marriage is a beautiful thing and is even more beautiful when the children start coming. Couples are usually happy when the kids begin to arrive. But, while some couples prepare for this phase of the marriage journey, some others do not. But it is important to put plans in place before the kids’ arrival in order to cater for the extra financial burden.
Below are 5 simple ways you can handle your finances when married with kids:
1. OPEN A SAVING ACCOUNT FOR YOUR KIDS
Opening a savings account for your kids is the best way to handle your finances and also aids you to plan for their future. And it is also the best way for your children to gain financial independence.
When it comes to opening a savings account for your children, there are some banks that have account opening packages for children in
Nigeria such as the Fidelity Sweeta Account, KidsFirst savings account by First Bank, UBA Kiddies Account, Zeca Account by Zenith Bank, Wema Bank Royal Kiddies Account & Access Bank Early Servers account etc. These banks offer you the opportunity to open a savings
account for your kids at an early stage.
By so doing, you are not only securing their future but, also managing your finances. For example, instead of you throwing an expensive birthday party for them you can decide to have a little party for them and put the rest of the fund into their savings account for future purposes.
One good part of this early stage account opening is that once you begin saving for your children, you can switch their savings to another account as soon as they are of age to a higher-yield savings account. Another good part of opening savings accounts for you children is that you are not only saving for their future, but you are teaching them the habit of savings at an early age and it is one skill that will benefit them for the rest of their lives.
2. MAKE USE OF HEALTH INSURANCE SCHEME
Another way to handle your finances when married with kids is subscribing to health insurance. Having health insurance has benefited a lot of couples especially the ones with kids, the reason being that they do not need to spend much on hospital bills as it will be taken care of by their Health Maintenance Organisation, HMO.
Hospital is not a fun place to be, sometimes there are things you do not have control of and one of them is your children’s health. They might fall ill anytime especially at the early stages and which if you are not covered by an insurance scheme, can make you pay a huge chunk of money for them to get treated. This can unintended consequences on your finances.
But with a health insurance scheme, you can avert such situations as your HMO can cover for all the expenses even during child delivery.
3. ALWAYS BUY THINGS IN BULK
Buying things in bulk will go a long way to help you manage your finances when married with kids, as it will help you cut expenditure. Buying things in bulk will assist you to stay in budget as you have listed all that is missing at home and have put down a budget for it. That way you wouldn’t get to overshoot your budget.
There are some items you can count on to be a better bargain when bought in bulk as it will help you to resist the temptation of impulse buying. Here are some items you should buy in bulk: Toiletries, beverages, Dry foodstuffs & Canned goods etc.
Also, read 7 money habits that can save your marriage
Though there are items that you can’t buy in bulks like perishable goods, when going to buy your groceries for the month, always make sure you have a budgeting plan as this will enable you not to overshoot your budget and to also enable you to avoid impulse buying.
4. ENROLL THEM IN AFFORDABLE BUT QUALITY SCHOOLS
Some parents live above their means because they want to impress people out there. They go as far as doing so when it comes to choosing the best school for their kids. They do so by enrolling them in a very expensive school because the school is termed rich children’s school, forgetting the fact that all fingers are not equal.
This singular act has left some people in financial struggling. In as much as everyone wants to give their kids quality education, however, it should be done wisely. There a lot of affordable schools that fall within your budget that they can receive a quality education and be better persons tomorrow.
So, it is imperative that you stick with a school you can afford, so that when things become better and you are more financially stable, you can decide to enrol them in a much better school that you can comfortably pay their school fees without feeling it.
5. HAVE A BUDGET PUT IN PLACE?
Another way to manage your finances when married with kids is by having a budget put in place. That way it will enable you to track all your expenses so you do not end up overshooting your budget.
For couples, budgeting can be a touchy subject, but they can be successful at it and have fun while they are at it. When creating a budget with your spouse, the most important thing to remember is that a budget is simply a plan for your money. And, like all plans, it should be discussed, tweaked, and revisited often to ensure that you reach your end goal. When setting a budget, always set clearly your variable expenses
and your fixed expenses. This will serve as a heads-up when it comes managing your finances.
Managing your finances when married with kids might seem overwhelming for some couples, but with the right plans in place, it can be done without much difficulty. This can be attainable if both parties have reasonable means of livelihood.
Also, having an honest and open conversation as a couple once in a while about your finances, is actually surest way to make all the plans stated above feasible.