Finding the money to make ends meet can be difficult for anyone, but it can be particularly challenging for parents and caregivers. When you’re looking after a child, you need to ensure you have enough cash to keep them safe and healthy in the short-term, while also planning for the future. For many parents, a major concern is often finding the funding to invest in their child’s future. Whether you want to help your entrepreneurial youngster with cash to help them start their new business, provide money for professional training, or even help pay for college, it can be difficult to make your budget stretch. Here are some of the ways you can start planning for your child’s future, today.
Start a Savings Plan Early
The best time to start saving money for college is yesterday. The second-best time is today. The quicker you start placing money into ISAs and savings accounts, the more interest they’ll be able to generate by the time your child needs to tap into those resources. There are specialist accounts you can put aside for a range of different reasons on the behalf of your children. Plus, you can even automate payments from your regular account into these funds on a monthly basis. Setting up a direct payment schedule should make it easier to assign a small amount of cash to your child’s future without having to constantly watch the pennies.
Get Help from Friends and Family
If you have close friends or family members who are involved in your child’s life, there’s a good chance they’ll want to do anything they can to help them succeed. While they might not be able to offer large cash deposits towards your youngster’s future, they may be able to top up your savings accounts from time to time. If your child’s aunts and uncles are trying to figure out what to buy them for holidays and birthdays, you could suggest putting a deposit into their account for them to access at a later date. The more people you have contributing to your fund, the faster it will grow.
Consider Additional Sources of Income
When you’re caring for children and working at the same time, it can be difficult to find extra hours in the day. Getting a traditional second job might not be an option for all parents. However, in recent years, it has become easier to access extra sources of income on a schedule that suits you. With freelance work and the gig economy, you can sell your services and skills according to your available time, whenever you choose. You might be able to tutor students part-time, transcribe videos, or even write content to boost your available resources.
Look into All of Your Loan Options
Loans are easily the most common way to find extra cash for a child’s future, particularly when it comes to getting a higher education. However, it’s important to remember that the right loan can make all the difference to both how much you spend, and how much funding your youngster can access. While public government loans can be ideal for some individuals, private loans also offer a lot of benefits, such as increased limits and greater flexibility. It’s worth looking into the kind of deals you can get for a low-rate private loan before you commit to a single lending option. Solutions like Earnest college loans for parents offer excellent versatility and low fees for students and their parents.
Get Your Child Involved
Finally, as your child grows, it’s worth encouraging them to take part in funding their own education. Talk with your youngster about their goals and what they want to do with their future, and help them to set up a private savings account where they can store their pocket money, financial gifts, and other sources of income over the years. You might even work with your child to help them find a part-time job they can do while they’re studying. Helping your youngster get to grips with the costs involved in getting a degree, starting a business, or striking out on their own will help them to feel more prepared when they move into adulthood. You could even consider giving them some tips on budgeting and financial management.
