A net worth statement, sometimes called a financial statement, measures wealth or how much we are worth – at one point in time.
What are your assets? Assets include cash and other items of value that can be converted to cash. Some assets are more difficult than others to convert to cash. Be careful not to overvalue personal belongings, such as televisions and furniture as these often lose value over time.
• How much do you have in cash or …
Keeping a roof overhead is an important concern
when your income drops. If you rank your bills in
order of priority, chances are housing is at or near
the top of the list.
When you are under the financial stress of reduced
or lost income, one of the biggest expenses is
housing. Housing expenses include mortgage or
rent payments, insurance, taxes, household
maintenance and repair, utility bills, furnishings,
and cleaning supplies.
When income drops, careful planning can help you…
Importance of Communication
• When the family is facing tough times, family
members need to lean on each other more
than usual. Talk to each other respectfully and listen to
each other’s concerns.
• Conflict and disagreements are normal, especially when family members are stressed. Give each person a chance to share his or her view of things, without interrupting or judging. Keep an open mind and listen for new information and good ideas.
• In tough times, family schedules …
Doing Things Together as a Family
Take advantage of local public resources:
• Spend time together at the park or local community festival.
• Go for hikes or bike rides.
• Go for a family picnic.
• Go swimming at the local pool, lake, ocean, or
• Take advantage of free programs offered by
the library, museums, and community bands
or orchestras, or other free community events.
• Check out books, music, and videos for free
Adult children move in with their parents for a number of reasons, including economic hardship. As this move will change the parents’ household expenses, adult children have a responsibility to contribute to the upkeep of the household. It is important to talk openly and honestly about money arrangements before the adult child moves home. Be as specific as possible and put the arrangement in writing for all parties involved.
Costs of Maintaining Household
What is the current monthly cost for …
Many teens work for extra money but rarely are
their earnings used as a contribution to the
family’s economic wellbeing. Research of teen
employment reveals that costs for
transportation, clothing, and food away from
home actually increase with teen employment.
Involving teens in family problem?solving helps
teach them the reality of managing money and
distinguishing between needs and wants. Asking
teens to help with household expenses will need
to begin with an open sharing of a family budget,
income, and …
A spending plan or budget is a plan for spending and saving family resources to meet identified goals.
What is the type of expense?
• Fixed expenses occur on a predetermined
schedule and are for a set amount (such as a car
payment or rent).
• Variable or flexible expenses usually occur on a
predetermined schedule, but may change in
amount (such as a cell phone or utility bill).
• Discretionary expenses are ones that are
totally up to you …
An increase in the price of goods and services can be traumatic. When you have to pay more for things like gasoline, food and health care, other difficulties may arise, especially if you are retired and/or are living on a fixed income. Realizing that your income does not go as far as it used to, even in covering the basics, can be alarming.
An increase in the price of one essential product may trigger an increase in the price of …