Family Finances: Your Friend or Foe?

1. Do you carry a credit card balance?
No - we don't use credit cards, or we pay the balance in full each month.

2. Do you save a fixed amount of money every month?
Yes, we pay ourselves first.

3. Which most closely describes your attitude toward major purchases?
We save up and then pay in cash.

4. Does your family have an easily accessible emergency fund?
Yes, we have at least three to six months' worth of expenses saved up in case of an emergency.

5. Which most closely describes your mortgage situation?
We have a fixed-rate mortgage that we overpay each month.

6. Are you and your spouse planning for retirement?
Yes - we contribute fixed amounts to at least one retirement plan each month.

7. Do you have a monthly budget?
Yes, down to the penny.

8. What is your philosophy about giving money to your kids?
They get paid for each chore completed.

9. Do you talk to your kids about money - the importance of saving, the pitfalls of credit, and setting budgetary priorities?
We sure do.

10. Is your home energy-efficient?
Yes, we've improved our home's energy efficiency by taking steps such as installing compact fluorescent lamps, sealing our windows, and checking the insulation.

11. Finally, which most closely describes your attitude toward your family's financial situation?
We're on top of our finances and confident about the future.