Few life milestones are as emotionally and financially transformative as becoming a parent. While this chapter is often filled with deep joy, it can also bring new worries as each stage of parenthood can present fresh challenges. It’s only natural to wonder whether the financial decisions you’re making today to support your children might impact your ability to achieve longer-term goals — like saving for retirement. Whether you’re already a parent or planning to become one, the following insights can help you feel more confident and in control of your financial future.

Understand that having financial worries is normal. Today’s parents face a complex mix of financial responsibilities, from saving for retirement or college to covering everyday costs like childcare. It’s a lot to manage, and it’s understandable to feel stretched at times. According to the Ameriprise HYPERLINK “https://www.ameriprise.com/binaries/content/assets/ampcom/parents–finances-research-report.pdf” \hParents & Finances study, nearly all parents surveyed (96%) found joy and purpose in parenting but admitted it was harder than they expected — both emotionally and financially.1 You are not alone if you find yourself worrying about the feasibility of accomplishing short- and long-term financial goals.

Assess your competing goals. The first step in taking control of your finances is prioritizing the varying goals that shape your financial plan. Consider separating your goals into three buckets: short, medium and long-term goals. Short-term goals might include your plan to cover the cost of childcare or a home renovation project. Depending on your timeline, medium and long-term goals may encompass paying for secondary school or college, taking the dream vacation you’ve always wanted to, or saving for retirement. Once you’ve defined your goals, consider how you will finance the three buckets. A financial adviser can help you choose the right strategies and solutions to fit your needs and show you how to balance your hard-earned dollars across various priorities.

Communicate early and often. Create an open dialogue about family finances with your partner and your children. The Parents & Finances study found that 70% of parents involve their children in family financial decisions to help instill values and principles.2 Consider having age-appropriate conversations with your children, so they understand financial concepts and the financial tradeoffs you make as a parent. These conversations not only help pass financial knowledge to the next generation, but they can help families coalesce around a financial plan that fits both family goals and values.

Give children a strong financial foundation. Becoming a parent can inspire a look at your own financial situation and decision making, but it is never too early to start building your children’s financial foundation. Consider the steps you can take now, even while your children are young, to help guide them to a stable financial future. The Parents & Finances study revealed the top ways parents support their children in making smart financial decisions: open a savings account for them (76%), encourage them to save for a short-term goal (68%), and stop them from spending money unwisely (61%).2 Additionally, nine in 10 (88%) parents give their children money as an allowance or for certain actions, such as academic or athletic achievements, to give them a chance to make their own decisions around money. As you decide how you want to set your children up for success, consider how you can support their success while fostering their financial independence.

Parenthood, whether you’re caring for a newborn or guiding a young adult, comes with a wide range of financial responsibilities and decisions. A trusted financial adviser can help you build a plan that supports your family today while keeping your long-term goals firmly in sight. With thoughtful, comprehensive planning, you can move forward with greater clarity and confidence, knowing your family is prepared for both the opportunities and challenges ahead.

HYPERLINK “https://www.ameriprise.com/newsroom/news-releases/new-research-from-ameriprise-financial—parents–finances—explores-the-unique-financial-decisions-and-competing-priorities-parents-face-throughout-their-childrens-lives” \h1 – Ameriprise Financial Press Release: “New Research from Ameriprise Financial — Parents & Finances — Explores the Unique Financial Decisions and Competing Priorities Parents Face Throughout Their Children’s Lives”

HYPERLINK “https://www.ameriprise.com/binaries/content/assets/ampcom/parents–finances-research-report.pdf” \h2 – Ameriprise Financial Parents & Finances Study, 2025. Research Report.

Trisha Schaar, CRPC, CLTC, APMA, is a financial adviser with Echelon Wealth Partners, a private wealth advisory practice of Ameriprise Financial Services, LLC in Marshall, MN. She specializes in fee-based financial planning and asset management strategies and has been in practice for 8 years. To contact her, ameripriseadvisors.com/trisha.m.schaar, (507) 532-2210, 100 West College Drive, Suite 103, Marshall, MN