Financial Sacrifices for Your Children

by Miriam Caldwell | More from this Blogger

30 Jan 2007 09:33 PM

When you become a parent you begin to make sacrifices for your children. You sacrifice your time to spend time doing things that your children want to do. You may sacrifice that new pair of jeans so that your child can have a few new pairs. You may sacrifice fancy dinners out, so that you child can take ballet lessons. All of these things are normal, but is there a time when you should put yourself ahead of your child-at least financially speaking?

Most experts would say that there is. When it comes to saving for your child's education or your retirement, you should put yourself first. In reality by planning well for your retirement you will be taking the worry and stress off of your children when they are adults. They will not need to worry about how you are doing financially. They will not be forced to step up and fill in the gaps. It is recommended that you put fifteen percent of your income towards retirement each year.

Another question you might want to consider is how much you can realistically save for your child's education. It may be that you do sacrifice the new boat or motorcycle so that you can fully fund your child's college fund. You may be able to find a compromise on how much you put in. Remember the more you save at the beginning, the less you need to save in the end.

Children become more expensive as they grow older. Their clothes are more expensive. The car insurance will go up. If they are involved in extracurricular activities you may be shocked at the cost. It is important to try to save for college while they are still young, so that you can pay for the expensive high school years as well.

If you are a parent, you are already making sacrifices. You may be sacrificing a second income so that one parent can stay home. Ultimately you know what sacrifices are worth it for your family's well being. You can find a balance for everything else.

Related Articles:

When Will You Stop Supporting Your Children Financially? Saving for Your Retirement Versus Paying for Your Child's College

Five Reasons to Begin Planning for Retirement Now

Learn more about Miriam Caldwell

Miriam is a SAHM mom of three children. She has a daughter who is seven, and two sons, four and two. She loves being a parent and spending time with her children.

View Full Profile | More from this Blogger