Who is Childfree Wealth?
Childfree Wealth is a life and financial planning firm specifically serving Childfree and Permanently Childless people. From a technical standpoint, we are an advice-only, fee-only, registered investment advisor with the Securities and Exchange Commission (bottom line, we can only serve people in the US).
What inspired the formation of Childfree Wealth?
When I was studying to become a CERTIFIED FINANCIAL PLANNER™ I was amazed that in all of the training, there was never once a mention of people being Childfree. There was a lot about the standard life script, planning for kids, college, and empty nest, but there was no option to not have kids in financial planning. My wife and I are Childfree, so I wanted to know if we are weird or if others are out there like us. I'm a bit of a research nerd so I started interviewing and surveying Childfree people and found that being Childfree changes almost everything about our life and financial planning. Now I'm on a mission to do two things:
Teach Childfree people about how their financial planning is different.
Teach financial planners (and the financial community as a whole) about how to work with Childfree people.
Why is it important for people without kids to plan long-term?
In the US, the system is built around having a next of kin. Healthcare, governmental and financial systems blow up a bit if there is no next of kin. It means we need to have a plan for our life that reflects us, and paperwork in place to protect us. It goes beyond protecting our finances to include legal documents that say who should make decisions for us if we can't. We also need a plan for long-term care as the system in the US sucks.
Financial planning can sound intimidating. Is there a recommended first step and does it matter whether you have extra funds or heavy debt when getting started? How can a person gain confidence in managing their finances at any level?
Most, nearly all, financial advice assumes you have kids. While the core of financial planning is the same, such as getting out of debt, the big picture is completely different. To that end, we have created the 8 No-Baby Steps for Childfree People:
1: Create a starter emergency fund (1 month of expenses)
2: Get out of debt
3: Build a 3-6 month emergency fund.
4: Save and Invest toward your goals
5: Get your insurance right (disability and long-term care)
6: Estate Planning
7: Plan for Mom and Dad
8: Die With Zero
You may have seen something like the first three steps elsewhere, but once you are out of debt it is about creating a life that is truly yours. Childfree people have a lot more options in their finances. For example, it is an option for us to buy a house, not a requirement. It is also an option for us to retire, or we can follow a FILE lifestyle and invest in ourselves earlier. For more on the 8 No-Baby Steps and to get started on your finances, you can take our free course at https://childfreewealth.com/steps
Why is it important to have services that cater to people without kids?
Childfree people deserve services that understand what it is like to be Childfree and respect our lifestyle. In my research, I asked Childfree people if they had ever worked with a financial planner. The answers were shocking. Many of those who had worked with a financial planner judged their life choice (i.e. "you will change your mind") or just disregarded being Childfree completely (i.e. your financial plan is the same as everyone else's). The result was that they were turned off by the experience which is a shame. There are even systematic biases against Childfree people built into the software in the financial world. For example, while most Childfree people don't aim to pass on generational wealth (they would rather Die with Zero), financial planning simulations are all based on not dying with zero. Many financial planners (not Childfree Wealth) charge a percentage of assets under management, which means their goal is for your assets always to go up, so their salary goes up (a bad conflict of interest).
What is the best way to contact Childfree Wealth?
Website: https://childfreewealth.com
Free copy of Portraits of Childfree Wealth: https://childfreewealth.com/book
Free course - 8 No-Baby Steps: https://childfreewealth.com/steps
Podcast - https://childfreewealth.buzzsprout.com
Instagram - https://instagram.com/childfreewealth