Financial Planning: Why Role of Every Family Member Counts

Being a crucial aspect of money management, financial planning could seem a lot less daunting task if undertaken as a collective effort along with other family members. 

This would promote a sense of shared responsibility, promote enhanced communication drive and financial education among family members of every age group. 

To ensure that all members are on the same page when it comes to initiating a proper financial planning, one can undertake a few steps as follows:

Fix an appropriate time for a discussion: It is important to take out time for initiating a discussion on financial goals with other family members. Once all the members settle together in one place, discussions can be undertaken while taking in the viewpoints of every member. 

Initiate an open and transparent discussion: While taking into account all the perspectives of the current financial position, an open and transparent discussion should be initiated. This would provide everyone a clear idea about the financial goals and the steps need to be undertaken to meet them. Each member should be encouraged to share their views and their valued opinion is required to be respected.

Set target on realistic financial goals: The motive of the discussion should revolve around setting up of realistic financial goals. These goals are required to be specific, measurable and time-bound while not wavering from the set agenda in terms of financial planning. 

Count everyone’s opinion: Take everyone’s opinion into account and this includes children or teens. This would help in building a sense of ownership and responsibility while focusing on the financial goal that remains achievable.  

Finally, it is important to note that financial planning is an ongoing process and a regular review should be undertaken after a gap of few months while reviewing the changing financial scenario. Ideally, the review of financial planning by family members can be undertaken at least once a year.