Debt Management: How to Help Pay For Your Kid’s WeddingAug 30, 2017
Debt management isn’t always the first priority for couples planning a wedding.
It isn’t that they don’t consider the costs, but between the excitement of impending nuptials and all the additional expenses people forget to budget for, many well-meaning wedding budgets get blown out of the water.
Why debt management matters
The creeping costs that often accompany wedding planning could negatively affect your long-term finances, and your financial goals, like retirement. And while you might be creating a dream wedding for another couple, you could be straining your own marriage by creating financial problems.
So while you might want to fulfill your kid’s wedding dreams, you’ll also have to keep your eye on the budget…and the purse strings.
Use the right tools
It’s a hard role to play — being both fairy godparents and budget enforcers.
Here are a few links to tools that can help. If you introduce these early on in the process, it could be easier to track spending and make financially sound decisions.
Building a thorough budget can be a (financial) lifesaver. The Financial Consumer Agency of Canada offers a good one that lists potential costs you may not have considered.
With a detailed budget, you can avoid accumulating debt or having to make the tough decision to cut something from the wedding. That can be a big relief for everyone.
This debt repayment calculator helps you determine the long-term cost of wedding purchases. There’s no doubt you’ll be pulling out your credit card a lot — to put down deposits on flowers, decorations, venues, and to pay for wedding wardrobes and gifts.
You know better than your kids do what you can afford to spend now, and what level of debt (if any) you are willing to take on.
Accumulating wedding costs can make it difficult to get out of debt in the future, so be honest with yourself about how much you’re able to repay in the months following.
Starting a marriage with debt can be stressful — but taking on debt to help your son or daughter start their marriage can also be a hardship. If you’re helping pay, anticipate costs and discuss expectations openly to achieve the most effective debt management, and the most enjoyable nuptials.
What tools are you using to keep wedding planning on budget? Tell us on Twitter. #DebtSolutions #Weddings