5 FINANCIAL PRINCIPLES TO SHARE WITH YOUNGER GENERATIONS
SPONSORED CONTENT by the Faust-Boyer Group of Raymond James
1. BUDGET AND PAY BILLS ON TIME.
Chances are your children have not really had to create and follow a budget. You’ll need to explain how to budget for utilities, food, gas, insurance, rent and cellphone service before spending on discretionary items. In addition, reinforce the idea of paying bills on time so your children will know what’s left to spend on other expenses and savings.
2. MANAGE DEBT.
Many college students graduate with credit card debt and student loans. Show your children how quickly credit card debt, fees and interest can accumulate and get out of hand. Help them be smart about using credit wisely. While you’re at it, discuss fees involved with some credit cards and banking accounts.
3. BUILD CREDIT.
A debit card won’t help build credit. So talk to your kids about using a credit card that can be paid off each month. Buildinga good credit history could help increase their chances of borrowing at lower rates later on, say for a mortgage.
4. SAVE FOR A RAINY DAY OR A LARGE PURCHASE.
Help your children establish good saving habits and set them up for a successful future. Encourage them to set aside a percentage of each paycheck toward retirement goals – maybe in a plan offered by their employers – and save three months of expenses in an emergency fund. Compounding will help both accounts grow over time.
5. START EARLY.
Children as young as three stand to benefit from learning the basic mechanics of money. And they’ll learn the most by watching adults. When you use money around children, show them exactly what you’re doing and explain everything as you go. Simply letting them use money (and being open about how you use it) is one of the most effective methods of teaching children about the workings and realities of money.
WE CAN HELP YOU WORK THROUGH ALL THESE IDEAS AND MANY MORE. GIVE US A CALL TODAY.
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310 The Parkway
Greer, SC 29650
864-968-3800
thefaustboyergroup.com
Raymond James & Associates, Inc., Member New York Stock Exchange/SIPC
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Lynn C. Faust, Senior Vice President, Investments
Michael A. Faust, Vice President, Investments
Aimee S. Waite, CFP® Financial Advisor
Alex McGrath, Financial Advisor
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Specializing in high net worth financial planning, executive financial planning, generational planning, and investing for women. The Faust-Boyer Group utilizes a team approach to effectively research, plan, monitor, and service their clients’ accounts.
Certified Financial Planner Board of Standards Inc. owns the certification marks CFP(R), CERTIFIED FINANCIAL PLANNER(tm) and federally registered CFP (with flame design) in the U.S.
