Save for your child's wedding now to avoid breaking the bank later
You love your child and want to do right by him or her when the time comes to plan a wedding. But getting married is expensive! The average cost of a wedding is now more than $31,000, according to the 2014 Real Weddings Study by TheKnot.com and WeddingChannel.com, with 43 percent paid by the bride’s parents, 43 percent paid by the couple, and 12 percent picked up by the groom’s parents. No matter which side of the happy event you’re on, being prepared is a must. These tips can help you manage the saving:
Decide what you want to contribute. Pick an amount that seems reasonable to you—perhaps a third or so of the average—and come up with a plan for how much you’d like to put away each month to reach your goal. Then, decide where you’ll come up with the extra cash to put away. Be realistic in how much you can afford to contribute. Your son or daughter won’t want you to pauper yourself to pay for the wedding.
Start saving as early as possible. If you decide to save, say, $10,000, and your child is very young, you could have a decade or more to save. If your child is out of college already, you’ll have a much shorter timeline. That $10,000 broken up over a decade only amounts to about $83 each month—but over a shorter time span of two years, it jumps to nearly $417 a month.
Keep the money safe. Deposit the money you save each month into a savings account to earn some interest. Avoid the temptation to spend it in an emergency by not keeping a debit card for the account.
Boost the account with extra payments. If you find yourself falling short on your savings goals, add any surprise money you receive to the account (like an extra paycheck or money from a garage sale).
Equal Housing Lender