Financial Advice for Moms with Brittney Castro and Chase
There was a point when I was listening to Certified Financial Planner Brittney Castro talk about how families should communicate about their spending that I felt like I was having a panic attack.
“I recommend having a weekly money date, yes weekly,” she told the group of ladies. The founder of Financially Wise Women said that during the “date” you and your partner spend an hour (yes, an hour) talking about your budget. You track what you spent the week before and what bills are coming up. You also check up on your accounts and make sure everything is accurate. It can be as fun as you want to be. Drink some wine and play a little music.
It sounds terrifying. I really don’t want to face how much I spend on Amazon (but it’s free shipping…). But I do realize it’s something that my husband and I need to do. If not every week than at least once a month, consistently.
Castro talked to a group of bloggers last week about financial empowerment as part of her role as JP Morgan Chase Financial Education Partner.
She recommended a plan for managing money – the 50/20/30 Formula. In the plan, 50 percent of net income goes to rent or mortgage, insurance, bills, etc while 20 percent goes to savings, retirement accounts or paying down debt. Then 30 percent can be spent on fun things like travel, restaurants or getting a blow out.
I asked her how this works for moms. It’s not just me in my family. There’s the family, the house, the dog and I wondered where does mom fit into this budget?
Castro stressed that while taking care of family is important, it’s also important to do things just for you from that 30 percent of variable expenses.
“Even little things go a long way,” she said. If you can’t afford to do all of the things you want to, pick one thing – a manicure, a new book, a night out – and make it work within your budget. You can say to yourself “I know when I do it, I feel better. When I feel better, I’m a better wife, a better mom.”
I was also curious about what she recommended for saving for college and how to budget as a single mom. We talked about that and if she thought my investment was a good one on the MomsLA Podcast. The interview is below and it’s a short, 6 minutes.
It was a really interesting evening and I learned a lot from Castro. If you’d like to find out more about her, visit Financially Wise Women.