What is Talk Money Week?
It is an annual campaign that takes place each November to get us talking about money.
The aim is to encourage the UK to talk about managing money – from pocket money that we may give to our children or grandchildren right through to investments and pensions.
The campaign provides a platform – or can act as an icebreaker – to bring up the topic of money. The goal is to turn talking about money from one of the UK’s least favourite topics into something commonplace.
Why talk money?
According to the Money and Pensions Service, talking openly about money is vitally important for our health, wealth and relationships. Research shows that people who talk about money:
- make better and less risky financial decisions
- Have stronger personal relationships
- Help their children form good lifetime money habits
- Feel less stressed or anxious and more in control.
How to get the ball rolling on awkward conversations about money
Every family is different and so there is no one right way to have these conversations, however, building money conversations into our everyday lives can help us build financial confidence and resilience for whatever the future throws at us. Here are a few suggestions to help guide you:
Pick a positive, comfortable environment during a period of relative calm. Don’t wait until a time of crisis when it may be too late to make adequate plans and family members may not feel emotionally able to talk.
Be sincere about your intentions. Be clear that you are initiating these talks out of concern that proper plans are in place and are understood.
Stress the importance and benefits of this conversation to everyone affected. One way to do this is to show an example of an estate that was improperly handled because family members had failed to discuss their plans with each other.
Plan ahead. It always helps to have a robust plan for your estate before broaching these conversations with your family. Being clear on your view of what should happen with your estate can make it easier to discuss with your loved ones.
If you aren’t sure where to start when it comes to estate planning a financial planner could help.
Talking money and Estate Panning
As financial planners, Estate Planning is one area where we see ‘talking money’ having a real positive impact on families. Read our previous blog, Awkward conversations about money, to understand why the conversation is critical when it comes to passing things on to your loved ones.
The information in this blog should not be regarded as financial advice. Pensions are investments which can go up or down, and may be worth less than you paid in.