Some say that the family that plays together stays together.

And the simple reason this saying holds true is because unstructured time well-spent together creates stronger social and emotional ties within the family unit.

You’re literally bonding together.

Now, when it comes to talking about money, some families find the opposite to be true.

That’s because discussions around money often repel members.

And so, the more you try to talk about money, especially how it’s supposed to be used, the greater the tension that are likely to arise.

But here’s the rub: most individuals know that achieving life and financial goals often requires planning for the future.

This work involves starting with the end in mind, identifying the resources you have today, and then creating a strategy for bridging the gap between where you’re at today, and where you want to be in the future.

It’s simple, right?

Well, sure, this approach to planning is simple, but it’s not easy.

This is especially true when you’re trying to get your family’s spending and savings habits on the same page.

That’s because it’s one thing to plan for a singular vision for your life or your life with your partner. And it’s another to agree on a plan that your kids or other family members can buy into.

So then, what can you do to create a financial framework for your wealth that involves your family and helps you achieve your broader legacy goals while improving your family’s togetherness?

Well, you can start by creating a unified family wealth strategy.

This approach involves creating a shared family vision for your wealth, identifying easy-to-achieve goals that your family can rally around, and developing principles to foster effective communication to ensure everyone’s voice is heard.

Establishing a Shared Values System

Alright, now, when it comes to creating a unified family wealth strategy, especially if you’re a first-generation wealth builder, you need more than just sharing what you know when it comes to talking to your family about money.

You need a common money language.

In other words, for your family to get on the same page when it comes to money, you need a singular reference point to ensure that you’re all singing from the same hymnal.

And so, that’s where establishing a shared values system comes into play.

Indeed, this approach allows your family’s money decisions to be filtered through the same lens and ensures that every financial decision reflects your family’s core principles.

Defining Family Values

So then, where do you start?

Well, the process begins with first defining your family’s values.

Now, this is a topic that we’ve written about in the past, so be sure to check out our recent resources.

Either way, to facilitate this first step and actually identify your family values, you can utilize exercises and workshops designed to help your family articulate and align its values.

Now, these approaches can be as simple as discussing what values each family member believes are collectively important, to something more structured like a workshop with a professional facilitator.

Either way, the key here is to ensure that every family member’s voice is heard and that the values chosen truly reflects the collective goals of the family.

And if you’re still not sure where to start, James Clear in his book, “Atomic Habits” has some great exercises to choose from.

You can also visit one of my favorite tools, the life values inventory online, available at lifevaluesinventory.org to get started.

Either way, by clearly defining and integrating your family’s values into your financial planning approach, what you’re doing is ensuring that the way you and your family talk about money isn’t just about growing assets but about building a legacy that reflects what’s truly important to you collectively.

Doing so not only aligns your financial decisions with your ethical and moral beliefs, it also strengthens your family’s bonds by uniting everyone behind a common purpose.

Crafting a Family Financial Plan

Alright, now after establishing a shared values system with y our family, the next crucial step in creating a unified family wealth strategy, and finding harmony when it comes to talking to your family about money is crafting a financial plan that aligns with your family’s values.

Now, earlier you heard that the family that plays together, stays together.

Well, when it comes to money, the truth is that the family that plans together, stays together.

You see, it’s one thing to create a vision for where you should go.

It’s another to execute on that vision, and move your family, collectively, toward that purpose.

And that’s where a family financial plan comes into play.

And why’s that?

That’s because a financial plan serves as a roadmap to guide your family towards achieving its financial goals, all while staying true to its core values and principles.

Setting Collective Goals

So then, where do you begin?

Well, you can start by setting clear, collective financial goals for the next year, five years, twenty years, and 100 years.

Get your family to think big!

This process involves a collaborative discussion where each family member shares their personal goals, and together, you identify common objectives that align with your collective values.

Whether it’s saving for your kids’ education expenses, planning for family vacations, imagining what your retirement will look like for your family, or setting aside funds to support the learning goals of generations down the road, these goals should reflect your family’s shared values.

Setting Tangible Financial Milestones

Now, once you’ve set your shared values and goals, it’s time to bring them to life with some real, hard timelines you can get behind.

You can think of these as your family’s financial milestones.

Now, the beauty of setting these firm, hard dates is that they give you something tangible to work towards, and it motivates everyone in the family to stay on track.

So, how do we get there?

Well, imagine you’ve decided to fully fund your great grandchildren’s education so that they don’t have to lean on student loans.

It’s a big goal, right?

Well sure, it might be, but we can simplify it by breaking down the goal, starting with a date.

For example, let’s say that you want to have a million dollars saved in an educational trust by 2070.

This means that your family will need to figure out how much to set aside each month starting today, and stay committed to that savings goal as a family until your milestone is reached.

Indeed, having a big, tangible savings goal like setting money aside for future generations and benefits the entire family can help get everyone get energized and on the same page.

In some ways, it forces each family member to consider their own money habits, and how they either help or hinder the family’s broader, collective goal.

Fostering Effective Family Communication

Alright, so once you’ve identified your family’s values, and set the stage for a broader financial plan, the next step in creating a cohesive family wealth system is to foster healthier communication between each member in your family.

And so, what does communication have to do with money?

Well, we touched on this earlier, and this step is crucial because, without effective communication, you can’t achieve your collective goals.

If you don’t know where you’re going, any road will get you there.

It’s that essential.

That’s why, with open and regular communication, what you’re doing is ensuring that everyone in your family is on the same page, understands the financial approaches being utilized, and enables everyone to feel engaged in the decision-making process.

Organizing Family Meetings

And so, where do you start?

Well, you can start by establishing a regular schedule for family meetings that are dedicated to talking about money.

Now, these meetings should be structured to allow each family member, regardless of age, their own opportunity to voice their opinions, ask questions, and contribute ideas to your shared family vision.

This could start as quarterly meetings where you review financial goals, discuss any changes in circumstances, track spending, and evaluate your progress towards achieving your family’s goals.

For example, your family could use these meetings to discuss the performance of your investment portfolio, talk about philanthropic giving, or consider spending or savings adjustments to meet your education funding goals.

Know Your Audience

Now, it’s one thing to get together to talk about money.

It’s another to hold a meeting where everyone feels like they took something away from it.

That’s why it’s essential that your money-related matters be presented in a way that is understandable to all members, especially to the younger ones.

Indeed, these meetings should be used as opportunities to indirectly educate your family about financial principles, investment strategies, and the importance of budgeting and saving.

This approach not only helps in building financial literacy across the family but also ensures that everyone understands the family’s approach to money and their individual roles in achieving the collective’s goals.

Succession Planning

Finally, when it comes to fostering healthy communication about money, you’ll want to take the time to discuss succession planning.

Now, few people enjoy talking about their potential untimely demise.

Even so, by incorporating discussions on succession planning and wealth transfer into family meetings, you’re normalizing an otherwise uncomfortable topic and showing your family that you care enough not to burden them with indecision at a vulnerable time in their lives.

And so, what does this approach look like?

Well, these sorts of discussions involve explaining the structures put in place to address the family’s financial needs after you’re gone, like trusts and wills, and how they reflect the family’s values and goals.

Now, here again, these sorts of discussions are crucial for preparing the next generation for their future roles and responsibilities in managing your family’s wealth.

That’s because, during these conversations, you could explain the purpose of a family trust to your children, outlining how it operates, its benefits, and how it will support your family’s values and goals over the long term.

Either way, effective family communication about money matters fosters a culture of openness, trust, and collective responsibility.

And so, by organizing regular family meetings, fostering transparency, and focusing on education and succession planning, you’re creating a strong foundation for your family’s financial future.

The Family that Plans Together Stays Together

When it comes down to it, bringing your family together around money can seem daunting at first, but it’s undoubtedly achievable with the right approach.

That’s why by establishing shared values, creating a cohesive family financial plan, and ensuring ongoing, open communication, you’re not just creating a plan for your money, you’re laying the foundation for your legacy.

And this legacy is underpinned by shared goals, values, and a collective vision that transcends mere numbers on a balance sheet. It’s about creating a bond that fortifies your family against the strains and uncertainties that money-related matters can sometimes bring.

Remember, the simple act of coming together, setting shared goals, and openly discussing money can transform the way your family views wealth.

It’s not just about ensuring financial stability for future generations; it’s about using wealth as a tool to reinforce your family’s values, support each other’s goals, and make a meaningful impact in your community.

And the beauty of this process is that it not only brings your family closer together, it also empowers each member to take one step closer to becoming the master of their own financial independence journey.