Securing a Strong Future for Your First Child
Are you ready to have your first child? This is an exciting time in your life, but also one filled with tough decisions. It's fun to think about your child's future, but you also have to think about how you'll secure their financial stability, how they can be prepared for untimely events and more. Here are some steps you can take to ensure that your child is set on the right path and has a bright future, no matter what may happen.
Move to a Good School District
If you haven't already, it's now time to look into the school district you live in. Websites like Niche.com are a good place to start. They rank based on academic and teacher quality, teacher preparedness, and health and safety; overall, how safe and well-prepared your child will be for the future. Search around your area or an area you'd like to move to, and find which school districts are top rated. Check out real estate in the top areas and see what you can afford. Do not go outside your budget for a slightly better district — your child will benefit from having a nice and stable home environment, so you do not want to overspend.
Start Saving for College
While college enrollment has declined over the past few years, degrees beyond high school diplomas continue to be valuable in earning a higher average salary. For that reason, you'll likely want your child to earn a bachelor's degree or higher. As the value of a degree is clear, the cost of college is increasing almost eight times faster than wages. While scholarships and grants are great, you have to be prepared for your child to have to pay a full tuition. There are many different methods of saving for college, but no matter what you choose, it's always best to start early.
Get Life Insurance
No parent wants to think about the possibility of passing away while their child is growing up, but it unfortunately is imperative to prepare for. Purchasing life insurance is a simple way to do so. Life insurance can cover your funeral expenses, pay off debt or cover your salary loss. Companies like USAA provide flexible options, so you can choose what's best to protect your family. And it doesn't have to be expensive, there are affordable plans that will still give you peace of mind. For a small price, you can be sure that your child doesn't have to go through financial pains in your absence.
Create a Will
Creating a will is another important step to protecting your child in case of your death. While life insurance is important to cover expenses that come with death, it will probably not have any policies that cover what to do with your personal belongings and financials. To ensure that your child receives your funds and possessions in an appropriate manner, dictate what you would like to happen in a will. Follow the steps to writing one, and be sure to be specific.
Parenthood is a happy and exciting time, but you cannot forget the actions that need to be taken when having a child. Secure your child's success by devoting time to prepare and do research now.