By Stewart Koesten

To be successful mixing finances and family, remember to follow these three tips:

  1. Involve both spouses
  2. Educate your children
  3. Communicate openly about issues

1: Both spouses should be in the know.  Having one spouse handle most family financial matters may seem like an equitable division of labor, but unforeseen events like divorce or death could plunge the remaining spouse into unfamiliar waters.  Both spouses should understand their economic situation, including insurance, retirement and investments.  Being armed with knowledge about how much money comes in each month, what is spent on fixed expenses and discretionary purchases, as well as the family’s short- and long-term saving goals will better prepare the couple for the unexpected.

2: Loop in the kids.  According to, U.S. households will soon have as much debt as they had in 2008.  The total U.S. household debt climbed to $12.58 trillion at the end of 2016. One trillion of which was revolving debt, such as credit cards. Student and auto loans are also on the rise. The happy news is that parents can help reduce those numbers by bringing children into the financial loop early. In many families, money spent on the kids makes up a large part of the budget, and showering them with extras may give them unrealistic views about money. Lack of financial grounding at home may be one reason so many children have problems with debt as they transition to college and beyond.

3: Talk, talk and more talk.  Transparency and a willingness to talk about family finances can go a long way toward minimizing common financial pitfalls.  Spouses should discuss their human capital – their careers, education, and skills – as well as their financial capital.  They should agree on an investment strategy, regularly review their progress and make adjustments as needed.   Likewise, if all family members understand what they are saving for, such as college education and retirement, they may be more inclined to stick to the budget.

Go the extra mile and make the financial matters in your household a family affair.

For help getting the conversation started,

schedule a meeting by clicking below, contact Stewart Koesten –, or call (913) 345-1881.

Photo credit: illustir via / CC BY