Do You Need To Talk To Your Family About Money?
The truth is: that family security starts with financial security.
It’s the peace of mind knowing you will be able to meet your family’s daily, educational, and health needs, now and in the future.
For many in Asia, where family well-being is often a top priority, the value of financial security cannot be overstated.
Money may not be able to buy everything, but ongoing financial instability will inevitably lead to tremendous stress, anxiety, and conflict within a family.
When you consider that financial stress is one of the biggest stresses any family can endure, it makes sense that financial planning, as well as having conversations around money, are critical keys to a happy and resilient family.
For many of us, talking about finances can be an intimidating and unfamiliar process, especially if such conversations were not common in our childhood or in our own families.
Yet, there are real positives to having the “money talk” with your family – here are some reasons why.
Build Stronger Relationships
Conversations around money don’t necessarily have to revolve around numbers.
These conversations can also include discussions on your values, childhood experiences with money, fears, and concerns, which can go a long way in building a more honest and deeper relationship with your spouse.
This culture of openness and transparency will help you as a family, especially when you face larger financial decisions in the future.
Prepare Better For Your Future
Financial stress occurs when families are unable to manage unexpected expenses or income disruptions.
Stress can also occur due to unexpected needs – for instance, when you suddenly have to provide more financial support for a retired parent, or when the breadwinner is no longer able to provide.
The key is to avoid having to make difficult financial decisions in an emotional or high-pressure situation.
Safeguard your family by talking to them about their needs and expectations, and also about the family’s savings and financial safeguards for the future.
Set A Healthy Example For Your Children
Research has shown that families who are able to talk openly about money are better able to help their children form healthy relationships with money.
When children understand their parents’ values and see their parents modeling healthy money habits, they are far better able to integrate these habits into their own lives as they grow.
Why not find out how you can start impactful conversations with your family about money, by starting one with me?
For advice on your plan, fill in the form below, and let’s schedule a quick chat!