Today’s moms and dads have their work cut out for them. The economy is transitioning, schools are undergoing a total restructuring, and the investment scenario has never been more confusing. What’s a mother or father to do? One helpful strategy for getting the most out of the money you earn is to study what works. That means finding tried-and-true approaches for investing, saving for retirement, paying for weddings, and educating children. Here are suggestions for getting started.
Real Estate is Still a Sound Investment
For more than a century, working adults have invested in real estate to preserve and grow their personal wealth. But in decades past, the cost of entering the market was quite high and included a significant amount of hands-on management and financial risk. Today’s real estate marketplace is different and better. Investors can buy REITs (real estate investment trusts) for a modest per share price. Not only do REITs offer tax benefits, but they also deliver all the other advantages of owning real estate.
Student Loans Can Be Deferred
If you or a child borrowed to cover the cost of college or graduate school, it’s possible to apply for a loan deferment. Of course, approval depends on the kinds of loans you or your child has taken out and the financial institution that services the debt. What’s the easiest way to find out the essential facts about student loan deferments? Begin by reviewing an authoritative guide that walks through the process step by step. The idea of deferring college loan payments can come in handy for those who need more time to look for work, get through an emergency, or deal with a family crisis.
Roth IRAs Are More Attractive Than Ever
Traditional IRAs (individual retirement arrangements) use pre-tax earnings, which gives account holders a break in the year of the contribution. Later, they must pay tax on the principal and accumulated interest when they make withdrawals after retiring. Roth IRAs give no tax advantage now but let retirees take withdrawals tax-free. The advantages are obvious, and Roth accounts make sense for most working parents.
You’re Off the Hook for Wedding Expenses
The social culture is changing rapidly, much to the advantage of parents. A generation ago, parents of the bride, groom, or both, covered most expenses associated with weddings. Today, couples are marrying later and footing the bills themselves. Some resort to crowdfunding platforms, while others pay the event’s bills out of their pockets. Either way, it’s a big win for parents who can look forward to their children’s weddings and not have to write a huge check.
Homeschooling is a Major Thing in the 2020s
One of the most important cultural trends is homeschooling. Many of moms and dads are opting out of the public education system for all sorts of valid reasons. The result is an explosion of homeschools run by neighborhood parents. If you are not happy with what your kids are learning in public schools, explore local homeschooling organizations. There are national and state homeschool foundations that oversee the systems and assist parents who want to enroll their children.