Tips for managing finances after giving birth to new families.
Photo by Caroline Hernandez on Unsplash
Having children is wonderful, but from that moment on everything must be thought out more carefully so as not to cause problems in the future. The following are tips for young families so they can manage their finances well after giving birth, reported by dream.co.id.
1. Cut budgets that are deemed less important
If your income is not that great and you have additional expenses, there are things you have to give up. Think about where you can make savings, such as not buying a new sofa or TV, reducing the frequency of eating out, or cutting out gym subscriptions. However, before doing all that, don't forget to discuss it with your partner first.
1. Cut budgets that are deemed less important
If your income is not that great and you have additional expenses, there are things you have to give up. Think about where you can make savings, such as not buying a new sofa or TV, reducing the frequency of eating out, or cutting out gym subscriptions. However, before doing all that, don't forget to discuss it with your partner first.
Photo by Kenny Eliason on Unsplash
2. Create a Family Budget
Creating a new budget for the family is not always easy. When it's just you and your partner, you can save money by not going out with friends on your 'old date'. But once your baby arrives, you have to be more careful with your money. Make a list of all your and your partner's income and expenses. You'll be surprised at how little things quickly add up. Of course, there are important things, but you also have to be astute in seeing what budget can be reduced. Maybe you both don't have enough savings at the end of the month, but try to keep saving as a precautionary measure if an emergency occurs.
3. Shared Problems Are Shared Problems
Children are a shared responsibility and this requires joint decisions regarding the household budget. Speak honestly about money, don't keep financial secrets, and don't leave any surprises. Set some ground rules, agree not to buy anything over a set limit for example IDR 500,000, without discussing it with each other first. Take time, a household budget is important, so take the time to discuss and agree on any money issues you both have.
Creating a new budget for the family is not always easy. When it's just you and your partner, you can save money by not going out with friends on your 'old date'. But once your baby arrives, you have to be more careful with your money. Make a list of all your and your partner's income and expenses. You'll be surprised at how little things quickly add up. Of course, there are important things, but you also have to be astute in seeing what budget can be reduced. Maybe you both don't have enough savings at the end of the month, but try to keep saving as a precautionary measure if an emergency occurs.
3. Shared Problems Are Shared Problems
Children are a shared responsibility and this requires joint decisions regarding the household budget. Speak honestly about money, don't keep financial secrets, and don't leave any surprises. Set some ground rules, agree not to buy anything over a set limit for example IDR 500,000, without discussing it with each other first. Take time, a household budget is important, so take the time to discuss and agree on any money issues you both have.
Photo by Kenny Krosky on Unsplash
4. Manage Money in an Appropriate Way
There are various ways to divide the family budget. Consider them all, each has advantages and disadvantages, then decide which one suits your family and environment. If it doesn't work, try other programs until you find the surest way.
• First, keep everything separate and split the bills evenly. You each have your savings but try to agree to split any bills or have one of you pay for other things, such as weekly shopping, while your partner pays for other needs, such as rent or the mortgage.
• Second, split everything. If you are open and trust each other 100% with money matters, you can keep your respective earnings in a joint bank account which is then used to pay for everything.
• Third, divide it into mine, yours, and ours. This way, you each keep your accounts but also pay money into a joint account to pay household bills and family expenses.
• Fourth, take some for personal pocket money. The primary breadwinner transfers an agreed amount of money each week or month to their partner. Whatever money is left after paying household expenses is money you can use as you wish, this allows them to be financially independent.
There are various ways to divide the family budget. Consider them all, each has advantages and disadvantages, then decide which one suits your family and environment. If it doesn't work, try other programs until you find the surest way.
• First, keep everything separate and split the bills evenly. You each have your savings but try to agree to split any bills or have one of you pay for other things, such as weekly shopping, while your partner pays for other needs, such as rent or the mortgage.
• Second, split everything. If you are open and trust each other 100% with money matters, you can keep your respective earnings in a joint bank account which is then used to pay for everything.
• Third, divide it into mine, yours, and ours. This way, you each keep your accounts but also pay money into a joint account to pay household bills and family expenses.
• Fourth, take some for personal pocket money. The primary breadwinner transfers an agreed amount of money each week or month to their partner. Whatever money is left after paying household expenses is money you can use as you wish, this allows them to be financially independent.