Money Management Advice for Families

Money management begins when people understand how to handle their money and have the character to know when to spend it.  Many times, families don’t automatically have the know-how to manage money, so they choose to counsel with people who do.  There is some advice for money management for families that will help them get on the right track financially.

1.  Everyone in the family must learn to work together.  When someone is giving a family tips on how to manage money, it is very important that the family all be on board with this advice.  For example, if a father is trying to keep the budget tight and ensure that the family is financially stable, and the spouse is always asking for special things, then it will be hard to maintain a budget.  Children always complaining that they do not have enough could cause the parents to give in and buy more, and that could mess up any money management advice given to the family.  A family can innocently be a hindrance to the person in charge of the finances and inadvertently go against the advice of a financial counselor, but, if the entire family is in on the meeting, then they will know that they need to work together.

2.  One person needs to be in charge of the finances in the family.  The person in charge should be the one with the most experience handling money and have good character in their spending.  It would be a good idea to talk to the entire family when setting up the household budget, but if more than one person controls the finances, then things could get confusing.  It would be better if one person was in charge of setting the budget, sticking to it, and getting the family back in the right direction financially.

3.  Ideas on how to bring in more income should be sought out.  If there is a lot of family debt, and there is not much of an end in sight, then it would be a good idea for at least one person to try and bring in a little more income.  This could even be the children helping out in the time of trouble, and they could contribute some to the family income.  Sometimes, the issue lies with people spending their money in the wrong areas, and sometimes there is not enough money being made, which should result in making some more money.

Money management advice when working with a family should include working together, working more, and having one person in charge of the finances.