How financial planning can make you a better parent

The benefits of financial planning are well documented. But did you know that availing financial advisory services  can make you a better parent? Confused? Read on to know more.

A better life for your family

The foremost benefit reported by those who have availed high quality financial advisory services is that their cash flows are better managed – and better managed cash flows translate into an optimal balance between spending and saving. In other words, financial planning ensures that you have enough money left over at the end of the month to maintain a good lifestyle for your family. That could translate into healthy endeavours involving your child, such as travel, sports and other recreational activities that you would have avoided if you hadn’t undergone financial planning and your budget was permanently stretched.

Bases covered? Check!

If there’s one thing that the pandemic has taught us, it’s the critical importance of having all your bases covered when it comes to risk management. Families who had inadequate health insurance, for instance, struggled heavily – often having their entire savings wiped out in a fell swoop by hospital bills. Fortunately, financial planning ensures that you are well covered in terms of personal risks – including term coverage, health insurance and debt reduction. This means that you will be a more responsible parent – and in other words, a better parent.

Goals – achieved!

The most tangible benefit of financial advisory services is the achievement of your financial goals. And these goals can be both long term and short, and both abstract and materialistic. While it’s advisable to not spoil your children indiscriminately, occasionally pampering them with a great gift or rewarding their efforts with a prize is not a bad idea at all. And then, of course, you have the “big picture” goals like your children’s higher studies which financial planning can make a world of difference to. Financial Planning helps you harness the power of compounding to put together a sizeable education planning corpus for your child, thereby ensuring that she has a great start in today’s hypercompetitive world.

Your retirement fund makes a difference

Did you know that your own retirement planning is really a selfless exercise that will make you a more responsible parent as well? Indeed, when your financial planning exercise results in a solid retirement fund, you’ll be less dependent on your children (who will probably have young families by the time you retire), and will therefore give them more wiggle room to build up their own nest egg and spend on their own kids. In other words, a well thought out retirement plan is not just a blessing for you, but for your children too.

Less stress = a more mentally “present” you

You surely already know that money is the leading cause of stress. Bills, loans, EMI’s, financial emergencies, bad debt… the list goes on and on. And when you’re aways stressed out about your finances, it’s unlikely that you’ll be able to compartmentalize that negativity and be present as a parent. But financial planning helps drastically reduce your financial stress levels by putting you on track to systematically meet your financial planning goals and covering your risks. With the subconscious knowledge that your money is going into the right places, you’ll be a lot more relaxed – and a much better parent in the bargain.