HOW TO DO A PROPER FINANCIAL PLANNING FOR YOUR FAMILY?

Can you imagine life without your family? No, right? It is not even something you want to do. Everyone on this earth wants their family to live happily and without any hassle or problems in life. To ensure this lifestyle for your family, apart from regular meet-ups, love and affection, material and financial security are essential as well. This cannot be ensured without proper financial planning for your family. 

financial planning

Your family deserves to have a safety net of its own so that if any problem befalls in the future, your family as a whole can respond to it and solve it immediately. It gives a sense of security which ultimately, results in peace of mind and calmness of the inside. It will rid you of tensions in the future because you will be at peace. After all, you are better organized and prepared.

While financial planning for your family can be a bit tricky and confusing, it is something that you must do. Read on to understand how to do proper financial planning for your family and to avoid mistakes and confusion.

1. SET GOALS

The first thing you do when you set out to do financial planning for your family is to define and outline your goals and aspirations.

You will need to plan for a house that you would want to buy 3 years from now or 5 years from now, for the college that your child would go to, for any family vacations that you would want to go to. All these dreams and aspirations need to be thought about and the decision has to be taken about what all goals you wish to achieve so that you can accordingly work to arrange your finances. Once you decide your goals, you can plan how much to save and how long it will take to save that amount.

2. TRACK YOUR EXPENSES

Once you have a clear understanding of what your goals are going to be, you need to start tracking your expenses. You need to identify the sources of income, how much you spend in total, how much of your income goes into regular and unavoidable expenses and how much of it goes into irregular expenses. Further, you need to see where you can avoid and/or cut down expenses.

Making a monthly budget will do you good. Once you keep a track of your family’s incomes and expenses, you will get a better picture concerning financial planning.

3. A FAMILY ALLOWANCE

You can cut down on your unnecessary expenses by setting aside some part of your income for food, outdoor activities, entertainment, etc.

This way, you can design a monthly budget for your family where you can set target amounts for your savings as well as expenses. You must try and stick to these targets. This will help you keep a better track record of your expenses. You will be able to better organize your finances for your goal by identifying the right and the wrong and work to rectify it.

4. EMERGENCY FUND

As the name suggests, this fund is a portion of your income kept aside for any future emergencies that might befall you all of a sudden. It acts as a safety net. If you do not believe in keeping an emergency fund for your family, then you might be making a big mistake. It will secure your family’s future in the sense that should any mishap befall your family, you can respond immediately without wandering door to door for help. You will be shielded and guarded against any and every problem that you and your family might have to face.

5. SAVE/INVEST

Plan out for savings and where you want to invest your money. Saving is very important. Every member of your family should save something no matter how small the amount. Saving your decided amount is a must. And if you and your family judiciously meet your saving target, then you and your family are doing something right.  

When you and your family decide to invest, invest where the rate of return is high. They are extremely beneficial in the long run. But the only predicament that accompanies investments is that they are not risk-free. Their value is quite fluctuating and might even fall. Thus, if one wants to invest, you need to take up the calculated risk.

Nevertheless, if one is to do proper financial planning for one’s family, one must decide how much to save and/ or where to invest.

6. AWARENESS AND AN EYE FOR AN OPPORTUNITY

The best thing you can do to secure a better future for your family is to be aware and astute. Also, you need to keep an eye open for profitable opportunities and avenues for you to invest in. You need to make sure that you do not invest your money in a sham, you avoid frauds and be safe.

Identifying profitable areas to invest in requires a certain talent that everyone can possess with age and experience.

When you possess this keenness and astuteness, you are on the right path to financial planning.

7. FINANCIAL PLANNING FOR THE FAMILY NEEDS FAMILY

When you are doing financial planning for your family, you must include the family in this. Your family needs to be a part of this process. They need to give their inputs, express their fears against a decision, express their affirmation for a decision for you to do proper financial planning. It is stupid to plan for the material and financial security of your family without including your family in it. It will give you a holistic view and you will be able to analyze the pros and cons and thus, make better decisions.

Thus, it is not extremely difficult to plan for your family’s financial security. It requires planning, perseverance, and resourcefulness. And with these three qualities, you can achieve your family’s financial goals. Take help if you feel like that that is the better approach. But do plan for your family’s financial well-being.

How To Attract Young Professionals with Creative Benefits

An attractive salary isn’t enough to woo the top talent these days. Whereas previous generations may have been largely interested in earning the most money, millennials and Gen Zers have completely different concerns. Nowadays, young professionals are searching for workplaces that institute a healthy work/life balance or employers that are willing to contribute to their student loan debt. In short, if HR managers want their businesses tostand outto today’s best and brightest, they need to reevaluate the types of benefits and perksthey offer.

For instance, many young jobseekers desire positions that feature flexible working options such as varying start times and telecommuting. They also have a deeper appreciation of their mental health than their predecessors. Therefore,a workplace that offers health and wellness programs such as yoga or gym discounts can be much more attractive to them than other offices.

Sincea large portion of millennials are in dual-income households, they want companies that are willing to provide extended maternity and paternity leave when they start families. For those waiting longer to have children, companies can provide on-site pet care and other conveniences for their four-legged family members.

Times are changing, and so are the priorities of today’s job candidate. To avoid being left in the dust, your organization will have to reevaluate the benefits it offers. See the accompanying infographic for more ideas on how you can attract and retain exceptional young professional sat your business.



Infographic provided by The Jacobson Group

About the writer: Nikki St. Martin is VP of Marketing for The Jacobson Group, the premier insurance talent acquisition firm in the country. St. Martin is responsible for the ongoing marketing and branding efforts of The Jacobson Group.

What To Do When Inheriting A Property

Knowing what to do when inheriting a property can be pretty daunting, especially if you haven’t any property experience.

An elder loved one passes away, handing down a property worth hundred of thousands of pounds. The Will has been processed, probate complete and taxes sorted. Now what?

Inheriting A Property

Keep calm. It’s not easy to cope with an extremely valuable asset suddenly coming your way. The first step is to not panic, think clearly on your next steps and take your time.

Here’s what NOT to do

Don’t look to sell the property and cash in straight away. Sure you’ll get a large lump sum of cash to spend on whatever you choose, maybe a flash car or an expensive holiday. But think longer term. 

A car won’t give you an income but will eat up your cash quicker through insurance, maintenance and fuel.

You need to factor in timing of the market as well. Prices may have recently dropped and selling wouldn’t make the most of your asset. The UK market in some regions is in a decline due to Brexit, economic developments will therefore hit your sale income.

Look into local investment

If the area your property is situated in is undergoing major development, this may result in an upcoming property price hike. 

Key areas on the path of Cross Rail have seen major price increases over the last 4 years. Properties in the UB4 postcode grew by around £80,000 during this period. 

Just imagine selling before these price hikes and missing out on the extra value!

If you feel your area i going through heavy investment and prices will increase, it’s best to hold tight to your property until prices have undergone the sharp increase.

You can talk to local estate agents & property managers to get an idea of how the local market is looking.

The volume of houses for sale in that area may also indicate something is about to change. Potentially if people are holding off on selling, its usually if the area is a great place to live (so you may want to move in yourself!) or that people are biding their time for a better sale in the future.

Rent out the property

Renting out the property will provide you a steady income while maintaining full ownership.

Its not guaranteed, but property values increase over time (based on the last 30 years). Therefore while getting your rental income, the value of your house is increasing.

Lack of landlord experience?

Running a rental property isn’t smooth sailing. Fixing broken boilers, finding tenants, dealing with resident conflicts can take their toll.

An ever increasing option of what to do when inheriting a property is to get a property manager. A property manager can take on a range of services spanning from guaranteeing you rent, finding tenants, collecting payments or running maintenance. 

Rent Round offers a comprehensive search facility. Enter your postcode and property details and you can easily compare property manager fees & performance (free of charge)

Remortgage the property

Depending on the details of the property  handed over, you could be receiving a property with near enough the full properties value in equity.

If your not fully keen on selling, but could do with the additional income, remortgaging could be an option.

Remortgage will keep your ownership of the property and provide you with a lump some of cash from the mortgage provider.

Of course the mortgage will have to be repaid, but that can be easily recouped based on the rental income.

If you want to keep repayments low, then opting for an interest only mortgage will mean you defer payment of the actual debt until the mortgage term (which you could sell the house to cover).

Again if you’re unsure about how to rent a property & have no experience, Rent Round can help you get the perfect property manager to assist you and potential tenants.