Disclaimer: This is an unsponsored post. This article is intended to be a general resource only and is not intended to be nor does it constitute financial advice. Any recommendations are based on personal, not professional, opinion only. Past performance is not indicative of future results. For illustrative purposes only.
It’s no mystery that being prepared is every mom’s best talent and most utilized skill. We have the diaper bags, cars, and purses packed with anything that we think we just might point need: including but not limited to; diapers, clothes, snacks, drinks, wipes, entertainment, strollers and extra booster seats. We know exactly what to do in the event of an emergency with our children, our homes, or our families. So why do we not spend a bit of time preparing for a potential financial emergency? Research shows that the majority of Moms don’t know what to do to prepare for such an event, even though we know that the issue is real. This week the Money Momma is going to get you started on preparing the plan using her exclusive tool kit that is meant to make financial plan a relatively painless task.
A family financial emergency can be anything that affects your money and lifestyle, such as losing a relied upon paycheck, an unexpected yet necessary large purchase, a new addition to the family, receipt of a large inheritance, or sadly the loss of the family member who manages the money. It’s important to be just as prepared for this type of emergency as you are for any other. Money Momma’s business (Flesher Financial Services or FFS) has kindly allowed me to share her tips and check list developed specifically for moms. Below are her top 3 recommended items.
Item #1: Your list of who to call. Much like your pediatrician’s phone number is stored in your phone, so should be your family’s accountant, investment manager, and bank where your checking account is. In the event of any type of financial emergency, these are the people to call and they will know how to proceed. You want to have their names and phone numbers within your reach at all times. Put this list in a safe place in your kit along with account numbers and any passwords you or your significant other use to access accounts online.
Item #2: As hard as this sounds, it is really important to have 6 to 12 months’ worth of household expenses put aside in an interest earning savings account. Having this money put aside is akin to carrying an extra set of clothes for the kids; it won’t be needed often, but when it is you will be very glad that it is there. This money helps lessen the impact of any of the most common financial emergencies such as loss of paycheck, unexpected large purchase, or funds held up in probate court. Keep a copy of this account statement and a way to access these funds in your kit. you don’t have this kind of cash on hand now? Sound like an unattainable goal? There are some very simple steps that can be taken to reach this goal, we (FFS) can work with you to develop a plan to save up this amount over the coming year.
Item #3: A copy of your family’s monthly and annual budget. This is your financial GPS. It tells you who gets paid for what, how much, and when. This is your bird’s eye view of your family’s money and its flow. Using this, you can back into whether or not something needs to be cut out or narrowed down and whether or not some categories can be increased. Place a printed copy of this budget in your kit and an electronic copy in your files.
The above items are just a few of the items on the Money Momma’s checklist. The full checklist of 20+ items was developed specifically to help Moms navigate a financial emergency. Missed out introduction of Money Momma? Click Here to read about her.
Being a Mom means always having all the necessary tools, even in our financial lives.
Need some help getting these above items in order? Want to see the financial checklist in its entirety? Or do you have an issue you want the Money Momma to address in a coming issue? Contact Jamie Flesher at Nymoneymomma@gmail.com or 917-647-8267.
Disclaimer: This is an unsponsored post. This article is intended to be a general resource only and is not intended to be nor does it constitute financial advice. Any recommendations are based on personal, not professional, opinion only. Past performance is not indicative of future results. For illustrative purposes only.
