As a young family, you probably know that it would be beneficial to get your finances in order and plan for the future, but life often gets in the way. 

Or you may think retirement is so far off that you have plenty of time to get around to figuring it out.

Below are some of the reasons young families could benefit from creating a financial plan.

1. You have a lot of competing priorities

Young families typically have a lot of financial goals – saving for retirement, deciding on how and when to be saving for college, taking vacations, buying life insurance (not that exciting, I know – but important!).

Putting together a financial plan can help you get these priorities in order. It can also give you some confidence that you are taking the right steps to be able to do the things you want to do.

2. You’re making decisions with long term impacts

Most life decisions you are making will have some type of financial impact. Switching jobs, deciding if one spouse will stay home with the kids, starting a business – it can be stressful not knowing how these decisions will impact your longer term goals.

Financial planning is a process, meaning that your financial plan adapts as you make these decisions so that you can have a more clear picture of how each one could impact you in the future.

3. You’re busy and don’t want to be focusing your time and energy on this

There’s no question you could spend time googling answers to your financial questions and thinking through how to apply that information to your situation. But most young families are at the busiest point in their lives between working and shuttling kids back and forth between activities. 

Working with a financial planner gives you the ability to outsource the legwork involved in researching the options available. And having a financial plan in place allows you to foresee upcoming financial decisions and be proactive in thinking through them. 

4. You have time to make adjustments

This is the time to get a handle on your financial situation because you still have plenty of time to make adjustments. Maybe you’re not saving enough for retirement, need to shift which goal you are prioritizing, or want to get out of debt.

When you’re 20 or 30 years away from retirement, you can make adjustments and still give your money plenty of time to work for you.

5. You have others who rely on you

When you have others that are impacted by your financial decisions – kids, a spouse, aging parents – the gravity of your decisions can be felt more strongly.

When you work with a financial planner to establish your plan, you have someone to bounce ideas off of and offer an unbiased opinion when needed.

We love working with young families as you navigate difficult financial decisions and set yourselves up for the future – check out how we’re doing that here.

Joe Calvetti is a CPA and the founder of Still River Financial Planning, a comprehensive, fee-only financial planning firm that specializes in working with young families and professionals. Click here to learn more about how we work with clients.

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Disclaimer: The information provided above is for educational purposes only and should not be considered financial, legal, or tax advice. You should consult with a professional for advice specific to your situation.