A new study from Wallet Hub revealed the best places to raise a family -- including ratings for everything from fun to affordability.
This morning at 6:45 a.m., local financial professional Jeff Bangerter from Bangerter Financial Services is providing financial tips for young families that'll help no matter where you choose to settle down.
Where in California are the best places to raise a family?
Fremont and Irvine rank 2nd and 3rd for the best places to raise a family.
Overall, California cities ranked high in fun, health/safety and education/child care but pretty low in affordability.
There are trade-offs families make, like potentially paying more to live in a safe area with plenty of entertainment for our children.
How much does it cost to raise a raise a family?
A recent survey shows parents will spend over $230,000 on each child from birth to age 18. That staggering cost doesn’t include college - or beyond.
What are the biggest expenses parents face?
This is the second year in a row where over 70% of families are spending more than 10% of their income on childcare.
In that same survey, 2 out of 3 families reported child care costs impacted their career decisions. New parents need to decide if it makes sense financially for both parents to have jobs or for someone to stay home with the kids.
What can we do to protect our family and our money?
Get Life Insurance. Anyone with a loved one who depends on them should have life insurance.
A good rule of thumb is for your death benefit to be equal to seven to ten times your annual salary. This ensures your loved ones and assets are protected.
Build An Estate Plan.
Parents of minor children should always have a will. If you don’t put your wishes in writing, a judge could order guardianship to someone you would not have picked.
Remember, it’s important to keep your will updated with any changes in your life. A new baby, death, marriage or even relocating can spark changes to your original will.
How can parents strike a balance between spending money on their children and saving for retirement?
Parents need to prioritize saving for retirement. If they fall short, they could end up leaning on their kids financially later in life.
You should be saving 10-15% of your earnings in a retirement account. If one partner chooses not to work, you can’t forget about that person’s retirement account.