Work-life balance is elusive for many people who work a full-time job, and it’s even more difficult for people who work 2 or even three jobs. People are struggling to get by and it’s definitely a challenge for many people. You want to spend quality time with your family, but still have enough money to..you know..eat. You also don’t want to be living in a cardboard box under a bridge. That is why work-life balance is so precarious: many people struggle to get by, work more hours, work side-hustles, but are still struggling. Aside from all of that, people want to spend time with friends and family. If you have children and are working, then there’s a good chance that daily life is a bit of a juggling act; your juggling work, household responsibilities, tutoring your children, AND trying to squeeze in quality time with your family.
Achieving this feat is no easy matter, but it is about it’s also about managing your finances wisely. That is where estate planning comes in. We’ll provide some helpful tips that you may find useful:
Create a Family Budget:
This is obvious: a solid budget is the cornerstone of any successful financial plan. You may want to sit down as a family (not just mom and dad) and create a budget outlining your income, expenses, and financial goals. This budget should account for all your regular expenses, including housing, groceries, transportation, and childcare. Including the children in this budget will help the children understand the importance of saving and budgeting.
Prioritize Savings:
No matter how busy life gets, savings should always be a top priority. Rather than aiming to save three to six months of income for an emergency fund, aim to save SOMETHING when you have it. Estate planning can be tricky right now, particularly with the precarious job market the way it is, and you may not always have funds coming into any specific account. Just try to save what you can, and don’t beat yourself up if you are falling behind on saving for an emergency fund or a rainy day.
Automate Your Finances:
Put it away and forget about it through an automated savings account. You can have a specific amount of your paycheck deposited into a savings account each payday. That may help you divide up your savings.
Tackle Debt Strategically
You can use the “avalanche” method to tackle your debt: tackle the small debt first, and then the heavy debt later. You could also just tackle the high-interest rate debt first. People usually start by tackling their student debt loan first. When your debt is significantly reduced, you can start with rebuilding your savings.
Track Your Spending:
This one is a no-brainer and goes hand in hand with budgeting. It’s easy for expenses to spiral out of control when you’re busy. For instance, when you work at the office, you tend to spend more for lunch. Try brown bagging it for a few days here and there. There are many apps and online tools that can help.
Plan for Financial Goals:
Think of saving for something as a reward: save now, spend it for a rainy day. This requires will power, so you can write down your financial goals if you want to. Skip splurging on that Stanley cup, for instance, and instead save that money for a major goal: travel, fancy clothes (high quality ones), upgrading to a bigger house, etc. You get the picture.
Consider Flexible Work Arrangements:
Flex work arrangements and shift work can greatly engage workers; shift work allows you to spend more time with your children, and schedule things with family. Some days you can stay late, and other days you can arrive early. The other spouse can likewise do the same to manage familial responsibilities. That way, your children don’t feel that they are missing out on family life. Some companies are already exploring the possibility of a four-day work week.
Review and Adjust:
Life is constantly changing, and so should your financial plan. Review your spending (it doesn’t have to be by the book) but enough to stay on track – obviously there might be good and bad months when you can’t always keep on track. But reviewing your budget will help you form good habits around financial planning.
Seek Professional Guidance:
This one might cost a bit, but it could be helpful to seek out professional advice if you need it. Who you consult and how much the consultation costs is up to you. Try to seek the advice of a professional, rather than a “crypto” or “finance” bro on social media.
Embrace Simplicity:
This one sounds good on paper: it’s easy to say you’ll cut back, but it’s harder to actually do so. There are temptations to spend money everywhere; by the checkout line, advertisements everywhere you go, not to mention FOMO (fear of missing out). It also takes keeping you financial goals in mind. Envisioning the high-quality product or vacation you’re going to save for is going to keep you on track for your financial goals. That also means cutting back on spoiling the children (that’s for grandma and grandpa).
Estate planning also starts with a Last Will and Testament. Incorporate these financial tips into your lifestyle, to take control of your finances and create a more harmonious and balanced life. Be sure to also have your Will done.