Dad's Advice - Financial & Otherwise

Dads, June is your month.  If you are a father or “grand,” we hope your Father’s Day was great.  Following are a few tips you may have received or given in the past, and all remain relevant today.  Then again, the below can apply to all – fathers/mothers; children/none; married/unmarried.

1. Save for the “what ifs”

Rainy days are bound to happen – many keep an umbrella in their vehicle.  For finances, we need more than an umbrella for the “rainy days.”  Accidents happen; vehicles need repairs; medical expenses are incurred.  We encourage you to save a portion of your income as an emergency fund for when you experience a “rainy day” financially.

2. Shop preowned

Many will never own a brand new vehicle, and buying a new vehicle is not a bad thing.  Used cars may not have the same smell, features, or (nowadays) technology, but they can be more affordable and still safely get us where we need to go.  Additionally, a used car may likely maintain more of its purchase price than a brand new vehicle if you decide to replace it.

3. Travel together

Traveling with a large family group can be pleasurable or painful (most will know what we mean!).  Historically, the larger the traveling group, the better the potential discounts for admissions, events, tours, etc.  Neighbors and friends can also make up a “large group” for vacation savings and may help avoid a multi-hour car ride with that sibling or relative you would rather see at the reunion.

4. Pass it down

For this article, “pass it down” relates to the financial knowledge you gained over time.  Was I grateful to have emergency savings when I needed it most?  Was my used car as reliable as a new one?  Was I able to experience more on vacation after traveling with others rather than going on my own?  Your heirs may not always initially listen, but we can almost guarantee they observe and learn from your decisions.

Contact your RK advisor with any questions.  The RK team is here to help.

Source: Empower Retirement