Thursday, April 5, 2007

5 Financial Mistake Parents Make

The top 5 Financial Mistakes Parents Make from Yahoo Finance.

"Below are five common financial mistakes advisers often see parents make:
1. Buying the wrong life insurance -- or none at all
2. Ignoring the need for disability insurance
3. Postponing a will
4. Forgetting to save for retirement
5. Putting off saving for college "

1. Guilty, we had term life, dh stopped paying premium, applied for term life again, nearly died passing out in kitchen from blood test(almost hit head on mini fridge), denied (said I was overweight, well sure, but not THAT much, nurse taking blood weighed more), don't have any now, not applying again until I lose 15 more pounds, dh will have some with new job...Got all that!

2. Guilty, don't have any.

3. We have worked through this, talked to potential guardians & both families know of wishes, we do have them on file, just not OFFICIAL LEGAL DOCUMENTS...

4. Doing it, just not as aggressively as we should be. Dh's new job will have 401k again, so automatic funding is great!

5. Started when the kiddos were born, not nearly enough, but I'm not sure that is ever possible. We are starting 529s this year for them, but each has had their own mutual fund account since birth & it has been funded annually.

I'm not sure I think these are the worst financial mistakes a parent can make, but they seem to be pretty relevant! Going to have to add life & disability insurance to my goals for 2007...

No comments: