Top Financial Tips for Hispanic and Latino Families

September 13, 2024 at 01:00 AM EDT

SPONSORED CONTENT -- (StatePoint) Advertisement. National Hispanic Heritage Month, celebrated from September 15 to October 15, recognizes the contributions Hispanic Americans make to U.S. culture and success. According to advocates, it’s also an annual opportunity to address the gaps that limit their economic security.

“Though Hispanic/Latino Americans are major contributors to the health of the U.S. economy, they are not always proportionally benefiting from their efforts, facing disparities in employment, earnings and wealth compared to their white counterparts,” says Mariana Martinez, senior family dynamics consultant at Wells Fargo Bank’s Wealth & Investment Management division.

While a range of systemic inequalities have contributed to these gaps, there are proactive steps that Hispanic-Latino individuals, couples and families can take to help achieve their goals. Martinez offers these important financial tips and insights:

Secrets of Financially Successful Families

Hispanic families that have reached sustainable financial success tend to:

Communicate: They have open conversations about money, life plans, expectations and visions for the future. Family members know each other’s views about money management, and the older generation is particularly active in initiating conversations.

Learn together: They seek knowledge to improve their acumen. They share resources and bring others, particularly the next generation, along to learn about finances, business opportunities, and other areas of professional and personal growth. They are proactive in seeking professional input.

Strengthen the family: They honor cultural values of hard work, respect and family unity, cultivating traditions and celebrating together.

Drive growth: They pay attention to home ownership, entrepreneurship and investing, three elements identified by the Hispanic Wealth Project 2023 as the engine for financial growth for Hispanic families.

Healthy Financial Conversations for Couples

Having shared goals and values around money is a strong predictor of relationship satisfaction. The Catch-22 is that for most people (57% of those surveyed in Wells Fargo Money Study, 2024), talking about money is difficult. If couples want to be on the same financial page and bridge any gaps caused by different perspectives, conversations need to be intentional and frequent.

“Start small, with an issue that is the least conflictual. Move slowly and build on past conversations. Creating a containment for the discussion, such as doing it in a public space or for a limited time, can help avoid conflict.”

Here are a few prompts to start with:

The past: what did you learn about money in your family of origin?

The present: how will we get organized around financial resources?

The future: what do we want to accomplish and what financial means do we need to do that?

Martinez notes that certain cultural dynamics common to Hispanic/Latino couples can add additional challenges.

Among traditional couples, roles around money (typically men earning and making major financial decisions, and women administrating domestic expenses) can become rigid and lead the family to lose opportunities for growth.

“I’ve seen many couples become more flexible and improve their financial situation,” says Martinez.

Bringing Up Financially Responsible Kids

Children are good observers and capture messages around them whether parents intend it or not. That said, being intentional in creating educational experiences around money in everyday situations, from grocery shopping to planning a vacation, can set the next generation up for healthy financial habits.

A way of approaching “everyday money lessons” is to think out loud. That is, parents can share with children and young adults their internal process as they go about financial decisions. If appropriate, they can ask for their opinion and help, even making it a family project.

“Ultimately, defining goals, leaning on trustworthy sources and selecting a solid institution to work with can help families strengthen their financial health, while great communication among family members can ensure that everyone is on the same page,” says Martinez.

Wells Fargo Wealth & Investment Management (WIM) provides financial products and services through various bank and brokerage affiliates of Wells Fargo & Company.

This paid advertisement was written by Wells Fargo Bank, N.A.

*****

About Us

About Cabling Installation & Maintenance

Contact Cabling Installation & Maintenance

Editorial

Advertising and Sponsorship Sales

Subscriptions and Memberships

Feedback/Problems

Top Financial Tips for Hispanic and Latino Families

More News