ICYMI, we hosted our first live Twitter Q&A #PgTalksMoney on July 12. We asked 10 questions focusing on managing your family finances to a stacked panel of personal finance experts.
The hour-long event was packed with actionable advice, content, and hilarious banter. Here are some of our favorite answers to each question we asked. Head over to our Twitter page to see the full discussion!
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1. What’s the first money move you think new parents should make and why?
A1: Making sure your family is protected no matter what happens should be step 1! Start with life insurance because it's often easier, then go get an estate plan. Baby health ins is also important, but you can't select that until after birth - just make sure you're covered! https://t.co/NHaMpLZy5v— Chelsea Brennan (@SmartMoneyMamas) July 12, 2021
2. What’s the best financial move you made when your child was born?
A2: Honestly, it was the work we did before our son was born - figuring out how much a baby would cost once they arrived, where that $ would come from, and how it may impact the timing or prioritization of our other financial goals #PgTalksMoney https://t.co/05EUxNhSTA— Roger Ma, CFP® (@lifelaidout) July 12, 2021
3. What are some unforeseen expenses when having a baby?
4. What’s one financial mistake new parents make and how can they avoid it?
A4: I also think parents can make the mistake of being too hard on themselves. Of course you want to get your money in order, but that can also be challenging during such a big life transition. Do what you can and be kind to yourself. #PgTalksMoney https://t.co/IfIgsF1Gwm— Matt Becker, CFP® (@MomAndDadMoney) July 12, 2021
5. What’s something parents spend too much on? Where should they spend that money instead?
A5: All the stuff you buy pre-baby that you "think" you need. Definitely buy some clothes, bottles, and toys, but no need to go overboard. More often than not, you'll be able to get some hand-me-downs from parents that are looking to clear up space in their home! #PgTalksMoney https://t.co/rz15tKShut— Roger Ma, CFP® (@lifelaidout) July 12, 2021
6. What’s one personal finance strategy that can help parents save money?
7. How often should someone review their family budget?
A.7 I have a quarterly calendar invite for husbae and I called "Budget recalibration". I don't even try to pretend like we can keep a rigid budget and not have any wiggle room. Quarterly is a good cadence bc you have "data" of a few months' spending to review. #PgTalksMoney https://t.co/exT5mGnkDx— Mandi Woodruff-Santos (@mandiwoodruff) July 12, 2021
8. How can parents equally balance responsibilities if one partner stays at home with the kids and the other works?
A8: It's all about communication. Make sure you're talking to each other about what's important to you, what you like doing, what you would use help with. Listen, respect each other, and find a balance that works for both of you. #PgTalksMoney https://t.co/U0LyYy1JFo— Matt Becker, CFP® (@MomAndDadMoney) July 12, 2021
9. What’s your top tip for setting up an education savings plan?
Q9. If your state offers tax benefits for using their plan, that's a good place to start. If not, look for highly-rated plans from other states. Note: It's important not to sink too much into a 529 in case your child opts out of college #PGtalksmoney https://t.co/iXlnlEXknu— Trae Bodge, Smart Shopping Expert (@truetrae) July 12, 2021
10. How can parents teach their children about money from a young age?
A10 I LOVE this topic. We start kids with allowance at 5, with $5. $1 each to Save, Spend, and Share and the other $2 they can decide what to do with. It's not tied to chores or anything, we view it as a teaching tool for kids. 1/2 #PgTalksMoney https://t.co/F8PTtHxcC6— Jude Boudreaux CFP® (@HJudeBoudreaux) July 12, 2021
Image: Ippei Naoi / Getty Images
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