The same can be said for recovering from sums of cash doled out over the festive season, sending to various commitments ‘back home’. This year should see piggy banks titled ‘Back Home Responsibilities’ and consistent money set aside to offset bills from home. An arrangement of a fixed sum for families caring for dependant relatives back home, this can be done on a monthly basis or tied in with the frequency of incoming funds.
Brainstorm with your family about family goals include commitments and plans for the year. At the brainstorming phase write down any goals or needs that your family would like to achieve and how they want to achieve it; savings from gift cards or allowances for elder family members. Assisting older kids with part-time jobs and helping to educate them on how to set money aside when wages have been received. Consistency is the key word to work out family budgets and being assertive with responsibilities outside the immediate family goals.
Involving all members in the family budget helps you do two things. It encourages them to understand the costs that the Bank of Mum and Dad or Son or Daughter incur on a daily basis beyond covering their feeding or pocket money. It also saves you cash while teaching them an invaluable lesson on how to become a savvy spender – not just on whether a Play station 4 purchase is really worth it but in everything they do in the future – from negotiating a mobile phone contract to getting car insurance as well as asserting that feeding allowances do not need to involve social activities that are beyond the allocated funds.
Written by Tokie L Brown
About The Author
Tokie Laotan-Brown is the author of the book “10 Steps to Managing your household budget” which provides readers with useful financial management tools to assess how their household expenditure is utilised.