Life is filled with moments. Little moments, such as getting your first job or opening your first checking accounts, and big moments, such as getting married and expanding your family. With some of the more major moments in your life, there is often a cost associated with it. Do you think you’ll be prepared to handle the larger moments in life when they come your way? If you’re properly prepared, you should be able to financially afford the major milestones in life without it hurting your wallet. Here are some of those moments you should expect.
Going to College
If you choose to go to college, then it should come as no surprise that getting an education isn’t cheap. In fact, paying for college has become a major barrier or many young people who want to better themselves and have a career. To make college more accessible, young people often turn to college loans to complete their degree. If this is you, then you should try not to take out more money than you can afford to pay or your education and if you can, pay on the interest while you’re in school. This small move can help save you thousands of dollars down in interest fees.
Congratulations, you’ve just gotten engaged and are starting to plan your big day. These days, the average wedding can run into the tens of thousands of dollars just to say I do. Avoid sticker shock when you get married by planning a frugal wedding or scaling back on some of the more expensive costs, such as flowers and catering. The more you can do to save on your big day, the less stressed you’ll be able the more you’ll be able to enjoy your wedding.
Buying a House
Because young people are facing mounds of college debt, they’re not as likely to purchase a home like generations before them. If you have dreams of becoming a homeowner someday, you’ll want to start putting money away early. There are many programs available that help you afford a home with little to no down payment, you just have to know where to look. After you’ve purchased your home, the real work begins, as you’re now responsible for routine upkeep and maintenance on your home. Make sure you have enough put away in a savings account to handle home repair emergencies that will likely come up during the life of your home.
Becoming a Parent
Becoming a parent is a rewarding experience that comes with many joys. However, having a child is expensive, and you should be prepared to shift your finances to provide for your child. Since you now have another person to take care of, you may want to consider purchasing life insurance to ensure they’re provided for in the event you’re no longer around to do so yourself.
Planning to Retire
After spending a lifetime working hard to provide for yourself and your family, you likely want to eventually retire. When that day comes, you want to have a comfortable retirement so that you can enjoy your golden years. In order to do that, however, you need to be financially prepared to handle life after you’re no longer earning a regular salary. You should start saving for your retirement as soon as possible so that you don’t have to rely solely on Social Security, which probably won’t be able to provide for your needs after you’ve stopped working.
While most of these life milestones are positive, not being financially prepared for them can cause unnecessary stress. When you’re prepared for the major life events that come your way, you’ll be able to face them head on without feeling stressed.