“Unlocking Financial Success: Key Takeaways from Bankrate’s Latest Survey”

In a recent Bankrate survey conducted in May 2024, it was found that Americans have varying definitions of financial success. The majority of respondents stated that they would need to be living comfortably, financially prepared for the future, never worrying about money, and living debt-free to consider themselves financially successful. However, despite having a clear idea of what financial success looks like, 89% of adults admitted that they have not yet achieved it.

The survey also revealed that about two-thirds of adults with a vision for financial success believe that they will achieve it one day. Interestingly, nearly 30% of working women and 20% of working men do not know how much they need to retire comfortably, according to a separate Bankrate survey conducted in March 2024.

To help families navigate the complexities of financial planning, Jordan Mangaliman, CEO of Goldline Financial Services, emphasizes the importance of creating a family financial plan. This plan should align with the family’s goals, balancing current needs with future aspirations. Here are some key steps to building a family financial plan:

1. Start with your family’s goals: Identify your financial goals, whether it’s early retirement, building wealth, funding your children’s education, or buying a dream house. Your financial plan should be structured around these goals and the timeline for achieving them.

2. Build a budget: Establish a monthly budget that outlines your sources of income and expenses. A budget helps prioritize spending, track expenses, and avoid unnecessary debt. Regularly review and adjust your budget as priorities change.

3. Build an emergency fund: Set aside at least six months’ worth of living expenses in an easily accessible account to cover unexpected costs like medical emergencies or car repairs.

4. Invest for the future: Allocate funds towards retirement accounts, college savings (529 accounts), and taxable accounts to secure your financial future. Seek expert advice to make informed investment decisions.

5. Protect yourself with insurance: Obtain adequate life insurance coverage to safeguard your family’s financial well-being in the event of a tragedy. Regularly review and update your insurance policies as needed.

6. Revise your plan: Life circumstances change, so it’s essential to regularly review and adjust your family financial plan. Seek professional guidance to ensure your plan remains aligned with your goals.

While creating a financial plan may seem daunting, seeking assistance from financial advisors can provide personalized guidance and support. By following these steps and staying proactive in managing your finances, you can work towards achieving your family’s financial goals and securing a stable financial future.