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Starting a family comes with an entirely new set of responsibilities. One of the most important, yet frequently overlooked, necessities is setting up a will. This crucial document outlines tons of important details should you pass away, including what happens to your child.

Estate planning for parents can be broken down into just a few digestible steps. Here’s everything you need to think about, plus tips on how to organize all of your documents.

Estate Planning for New Parents

1. Draft a Will

About 67% of Americans don’t have a will. Setting up a will can be simpler than it seems. A will is a document that outlines how you want things handled after you pass away, including distribution of assets and how any minor children to be cared for.

While some people with complex investments and multiple properties may want to hire a lawyer for help, younger, healthy individuals can seek out online services that can walk them through the steps to make a will and sometimes have no initial cost.

Then, you can follow the execution instructions, which typically include signing your will in front of eligible witnesses. Check your state’s individual requirements. Sometimes, you must have your will notarized in order to become valid. Many banks and public libraries offer this service for free.

If you’re married, consider drafting a joint will with your spouse. This gives you the ability to plan for different scenarios, like what happens when one spouse passes away versus both passing away at the same time. Remember to regularly update your will whenever a major life change occurs, like having another child or adding new major assets.


💡 Quick Tip: We all know it’s good to have a will in place, but who has the time? These days, you can create a complete and customized estate plan online in as little as 15 minutes.

2. Choose an Executor

When you’re setting up a will, you’ll need to choose an executor. This is the person responsible for handling the legal and logistical aspects of disbursing your assets. They are also responsible for filing any remaining taxes and settling your debts.

Consequently, your executor should be someone you trust and who has the ability to handle the tasks involved. This is especially important when you have young children because the executor’s ability to tie up your finances will impact your kids’ inheritance.

Once you choose an executor, let them know that you’ve chosen them. Give them a quick rundown of what to expect, and also let them know where to find your will and other relevant documents.

3. Name a Guardian

When you start having kids, you also need to name a guardian to care for them if you pass away before they reach legal adulthood. There are a lot of things to consider when making this important decision.

First, think about the potential guardian’s ability to care for children. Are their grandparents too old to take care of them? Does the guardian live far away from other friends and family who could serve as a support system?

Also consider their financial capabilities and their ability to manage any assets you leave to help pay for your kids’ expenses.

Finally, think about your values and who would raise your children in a way that’s similar to your own parenting style. Also realize that your kids will be going through a tough time, so their guardian would ideally be someone whom they trust and would provide emotional comfort.

If you have more than one child, make sure you name a guardian for each one, even if it’s the same person. That means you need to update your will every time you have a new baby. Be as explicit as possible when naming a guardian; for instance, if you pick a sibling and their spouse, name both individuals as coguardians.

4. Set Up the Right Accounts

Some types of accounts may help you pass on your assets without having to pay as much in taxes. It’s an important part of the estate planning process and can help you maximize the amount of money you’re able to pass onto your kids. A trust fund can protect the money from being spent too quickly, either by the guardian or your children themselves.

You can implement safeguards as to how much money can be taken out and when. Even if your kids are of legal age, you can put annual withdrawal limits on the trust to prevent a young adult from overspending. Alternatively, even if you pick a guardian to oversee the emotional wellbeing of your children, that same person may not be the best at handling money. Choosing a trust can limit their spending on behalf of your children as well.

There are many different types of trusts, so you may consider consulting an estate planning attorney to choose the best one for your family’s needs.


💡 Quick Tip: A trust is a customized estate planning tool that can be helpful for your heirs in addition to a will.

5. Designate Beneficiaries

The final step of estate planning for parents is to designate a beneficiary for every account and insurance policy you have. Include bank accounts, retirement and other investment accounts, and life insurance policies.

When choosing beneficiaries, find out how each type of account is taxed for the recipient. Also create a list of all of your account numbers and other pertinent details and include them with your will. This makes it easy for your executor to locate all of your assets. Include debt information as well, like your mortgage and/or auto loan servicer.

You can also update beneficiaries as life changes. For instance, you might initially name your spouse as your life insurance beneficiary. But if they pass away before you, it’s time to update that designation to someone else.

6. Safely Store Your Documents

Once you’ve drafted your will and signed it in accordance with your state’s laws, it’s time to store all of the appropriate estate planning documents to make it easy for your executor and beneficiaries to access.

Lots of documents are now stored online, but you’ll still need to keep your original, signed will in physical form. You can keep it in a fire-proof box at home, or in a safety deposit box at your local bank. Be sure your executor knows where and how to access your documents.

7. Outline Access to Financial Accounts

Remember to keep an up-to-date list of all your financial accounts that need to be taken care of. Bank statements should include the account numbers to make it easy for your executor to find. Also include the location of any valuable items, like art or jewelry.

Finally, it’s helpful to include the contact information for any professionals you work with, like an accountant, financial advisor, and estate attorney. Include insurance policy numbers, loan details, credit card numbers, and any other financial accounts that would need to be closed.

The Takeaway

Estate planning for parents isn’t a one-time event. Get started when you have your first child, but also review your intentions and make changes at least once a year. That way, you always have an up-to-date and comprehensive will that reflects your current financials and family structure.

When you want to make things easier on your loved ones in the future, SoFi can help. We partnered with Trust & Will, the leading online estate planning platform, to give our members 15% off their trust, will, or guardianship. The forms are fast, secure, and easy to use.

Coverage and pricing is subject to eligibility and underwriting criteria.
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Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

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Consolidating credit card debt is a common use of personal loans. And it makes sense, given that personal loans typically have lower interest rates than credit cards (which currently average 24.58%).

But what about saving money on an existing personal loan? Can you refinance a personal loan, ultimately saving money on interest or lowering your monthly payment? The answer is, yes. However, it may not make sense for every person or every type of personal loan.

Read on to learn why you might refinance a personal loan, how the process works, plus the pros and cons of a personal loan refinance.

Why Refinance a Personal Loan?

While there may be a variety of reasons to refinance a loan, it mainly comes down to two.

1.    To lower the overall interest rate and total interest paid.

2.    To lower the monthly payment.

These two might seem like the same thing, but they’re not.

When you refinance any type of loan, you are essentially replacing your old loan with a new loan that has a different rate and/or repayment term. If the new loan has a lower annual percentage rate (APR), you can save money on interest. If the APR is the same but the repayment term is longer, you can lower your monthly payments, making them easier to manage, but won’t save any money. (In fact, a longer repayment term generally means paying more in interest over the life of the loan.)

Another reason why you might consider refinancing a personal loan is to consolidate your debts (so you just have one payment) or to add or remove a cosigner.

Possible Advantages of Refinancing a Personal Loan

Here’s a look at some of the benefits of refinancing a personal loan.

Pay Less in Interest

If you are able to qualify for a personal loan with a lower APR, it may be possible to save a significant amount of money over time, provided you don’t extend your loan term. You can also save on interest by shortening your existing loan term, since this allows you to pay off the loan sooner.

Lower Your Monthly Payment

Refinancing to a lower APR and/or extending the length of the loan can lower your monthly payment. A lower monthly bill could help you get back on track, especially if you’ve been struggling to make your monthly payments.

Consolidate Multiple Debts

If you have a personal loan as well as other debts (such as credit card debt), you can use a new personal loan to consolidate those debts into one loan and a single monthly payment. If your new loan has a lower APR than the average of your combined debts, you may also be able to save money.

Possible Disadvantages of Refinancing a Personal Loan

Refinancing a personal loan might not be the right move for everybody. Here are some disadvantages to consider.

You May Pay More in Interest

If you refinance a personal loan using a loan that has a longer repayment term, you could end up paying much more in interest over the life of the loan.

You May Have to Pay an Origination Fee

Many personal loan lenders charge origination fees to cover the cost of processing and closing the loan. This is a one-time fee charged at the time the loan closes and, in some cases, can be as high as 10% of the loan. Since the fee is deducted before the loan is disbursed to you, it reduces the amount of money you actually get.

You Might Get Hit with a Prepayment Penalty

Some lenders charge a fee if you pay off the loan before the agreed-upon term, which is known as a prepayment penalty. If your original lender charges you a prepayment penalty, it could cut into your potential refinancing savings.

Refinancing a Personal Loan

If you are thinking about refinancing a personal loan, here are some steps you’ll want to take.

Check Your Credit Report and Score

To benefit from personal loan refinancing, you typically need to have better credit than you had when you got your original personal loan. With a stronger credit profile, you might qualify for a lower APR on the new personal loan.

You can access your credit report for free from each of the three major credit bureaus — Equifax, TransUnion, and Experian — through Annualcreditreport.com. It’s a good idea to scan your reports for any errors and, if you find one, report it to the appropriate bureau.

You can typically access your credit score for free through your credit card company (it may be listed on your monthly statement or found by logging in to your online account).

Shop Around for Loans

Every bank has different parameters for determining who they’ll offer loans to and at what rate, so it’s always worth it to shop around. This could mean looking at traditional banks, credit unions, and online-only lenders.

Many lenders will give you a free quote through a prequalification process. This typically takes only a few minutes and does not result in a hard inquiry, which means it won’t impact your credit score. Prequalifying for a personal loan refinance can help compare rates and terms from different lenders and find the best deal.

Applying for a Loan

Once you’ve decided on a lender who can help you refinance to a new loan, it’s time to formally apply. You’ll likely need to submit several documents, including pay stubs, recent tax returns, and a loan payoff statement from your original lender (which will show how much is still owed).

Paying Off the Old Loan

Once you have your new loan funds, you can pay off your original loan. You’ll want to contact your original lender to find out what the process is and follow their instructions. It’s also a good idea to ask your original lender for documentation showing the loan has been paid off.

Making Payments on the New Loan

Be sure to confirm your first payment due date and minimum payment amount with your new lender and make your first payment on time. You may want to enroll in autopay to ensure you never miss a payment. Some lenders even offer a discount on your rate if you sign up for autopay.

The Takeaway

Can you refinance a personal loan? Yes, and doing so may allow you to get a better rate and/or more affordable payments. However, you’ll want to factor in any fees (such as origination fee on the new loan and/or a prepayment penalty on the old loan) to make sure the refinance will save you money. Also keep in mind that extending the term of your loan can increase the cost of the loan over time.

If you’re interested in exploring your personal loan refinance options, SoFi could help. SoFi personal loans offer competitive, fixed rates and a variety of terms. Checking your rate won’t affect your credit score, and it takes just one minute.

FAQ

Can you refinance a personal loan?

Yes, it is possible to refinance a personal loan. Refinancing involves taking out a new loan to pay off the existing personal loan, ideally with more favorable rates and terms. However, whether you can refinance your personal loan will depend on factors such as your creditworthiness, the terms of the original loan, and the policies of the new lender.

Does refinancing a loan hurt your credit?

Refinancing a loan can have both positive and negative impacts on your credit. Initially, the process of refinancing may result in a hard inquiry on your credit report, which can cause a temporary decrease in your credit score. However, if you use the refinanced loan to pay off the existing loan and make timely payments on that loan, it can positively impact your credit over time.

Can I refinance a personal loan with another bank?

Yes, it is possible to refinance a personal loan with another bank. Many banks, credit unions, and online lenders offer loan refinancing options. This allows you to transfer your personal loan balance to a new loan with a new lender. However, eligibility criteria, terms, and interest rates will vary by lender. It’s a good idea to shop around, compare offers, and consider factors such as interest rates, fees, and repayment terms before deciding to refinance with another bank.

What are the pros and cons of refinancing a personal loan?

The pros of refinancing a personal loan include the potential to:

•   Secure a lower interest rate

•   Reduce monthly payments

•   Consolidate multiple debts into a single loan

•   Switch to a more favorable lender

This can result in savings on interest costs and improved cash flow. However, there are also potential downsides to consider, which include:

•   Paying an origination fee for the new loan

•   Getting hit with a prepayment fee from your original lender

•   Extending your loan term can increase the total cost of the loan

It’s important to weigh the pros and cons before you pursue a personal loan refinance.

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Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

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Since private student loans are held by a private bank or lender, you can’t refinance private student loans to federal loans.

The reverse, however, is possible. You can refinance private and federal student loans into a new private student loan with a new, ideally lower, interest rate. When you refinance federal student loans, it’s important to understand you lose access to federal benefits and protections.

Here’s what to know about why you can’t convert private student loans to federal loans, how you can combine both into a new refinanced loan, and how to make the choice that’s right for you.

Transferring Private Student Loans to Federal Loans

It isn’t possible to refinance private student loans to federal loans since private loans can only be held and owned by private financial institutions. Your federal student loans, on the other hand, can be converted into a private loan.

Although private and federal loans serve the same purpose — to finance your education — they differ in significant ways. One of the biggest distinctions is that private loans are not eligible for federal programs and benefits.

For example, federal student loan mandates during the COVID-19 pandemic offered automatic protection for federal borrowers. All federal student loans were put on administrative forbearance so that loan payments were paused without penalty. Also, borrowers weren’t responsible for any interest that accrued during this time.

While the payment pause came to an end in fall 2023, federal student loans are eligible for a number of other federal benefits, including income-driven repayment plans, deferment options, and forgiveness programs like Public Service Loan Forgiveness and Teacher Loan Forgiveness.

Since private student loans don’t come from the Department of Education, however, they do not qualify for these federal programs — and there’s no way to make them eligible.

Recommended: Types of Federal Student Loans

How to Combine Private and Federal Student Loans

While there’s no way you can refinance private student loans to federal loans, the reverse is possible: You can convert a federal loan to a private loan to combine your federal and private student debt into a new private loan.

Refinancing

You can combine federal and private student debt by refinancing your federal student loans into a private loan. Refinancing is offered by a private lender and requires a credit check. This repayment option lets you refinance existing federal loans, private student loans, or a combination of both into a new private student loan.

The new refinancing lender pays your original loan(s) in full and creates one refinanced student loan for the total amount it paid on your behalf. Over time, you’ll repay your new lender your principal refinance amount, plus interest charges.

Overall, a student loan refinance can help you combine multiple loans into a single loan at a new rate and potentially better terms. It also results in one monthly payment. Depending on your credit score and other qualifying factors, it might help you access a lower interest rate.

Be aware that since a refinanced federal loan is no longer a part of the federal student loan system, you’re giving up federal benefits and protections if you refinance a federal student loan.

Recommended: Guide to Student Loan Refinancing

Consolidating

Federal student loans can be combined, or consolidated, through the federal Direct Loan program. When you consolidate your federal loans, they are combined into a single new loan with a new interest rate that’s an average of all of your existing federal loan rates, rounded up to the nearest eighth of a percent.

Some reasons to consolidate your federal loans include simplifying your payments and qualifying for federal student loan programs such as income-driven repayment plans or Public Service Loan Forgiveness (if your existing federal loans weren’t eligible for these programs to begin with).

Private loans are not eligible for federal loan consolidation. As mentioned earlier, you can only combine federal and private student loans together when you refinance your loans into a new private loan.

Benefits of Federal Student Loans

Although converting your federal student loans into a private loan might have its advantages, there are serious caveats to consider before moving forward. Ultimately, refinancing federal loans through a private lender means you’ll lose access to valuable federal benefits and protections.

Debt Forgiveness

A major benefit that federal student loans offer, compared to private student loans, is access to student debt forgiveness and cancellation. Depending on your personal situation, you might be able to have a large portion of your federal student debt forgiven.

Some programs offered for federal loans include:

•  Public Service Loan Forgiveness (PSLF). Borrowers who work full-time for a government entity or not-for-profit organization might be eligible for loan forgiveness. While working for a qualified employer, you must enroll in an income-driven repayment plan and make 120 qualifying payments toward your federal loans. Afterward, your remaining federal loan balance is forgiven.

•  Teacher Loan Forgiveness (TLF). Under TLF, educators who work full-time at an approved low-income school or service agency can earn up to $17,500 in forgiveness. You must agree to a five-year service contract and meet other requirements.

•  Perkins Loan Cancellation. If you have eligible Perkins Loans, you might be eligible for loan cancellation or discharge, depending on your employment service or unique circumstances.

Income-Driven Repayment

Federal student loan borrowers who are struggling to afford their standard 10-year monthly payments can explore one of the Department of Education’s income-driven repayment (IDR) plans.

There are four types of income-driven repayment:

•  Pay As You Earn (PAYE)

•  Saving on a Valuable Education (SAVE)

•  Income-Based Repayment (IBR)

•  Income-Contingent Repayment (ICR)

Each repayment plan calculates your monthly payment based on a percentage of your discretionary income and your family size. Some borrowers under an IDR plan may qualify for a $0 per month payment. Most of the plans offer a longer repayment period of 20 or 25 years, though the new SAVE plan will offer a 10-year term for borrowers who took out $12,000 or less starting in July 2024. After completing your repayment term, your remaining eligible federal loan balance is forgiven.

Understanding how income-based repayment works can help you gauge whether you’re willing to relinquish federal loan benefits for a private refinance loan.

Guaranteed Postponement

You might suddenly be hit with financial hardship, like being temporarily unemployed or experiencing an accident that inhibits your ability to make payments. In this stressful situation, federal student loans provide the option to request payment deferment or forbearance.

These federal protections pause your federal student loan payment requirement without penalty. During this time, interest still accrues and is added to your principal balance.

You’re ultimately responsible for repaying it back, as well as any interest that capitalizes when payments resume. However, this guaranteed postponement offers financial relief during difficult times.

Some private loans may offer deferment or forbearance options during times of financial hardship, but the options vary by lender.


💡 Quick Tip: Enjoy no hidden fees and special member benefits when you refinance student loans with SoFi.

How Private and Federal Student Loans Differ

To decide whether refinancing your federal loans into a private loan makes sense for you, it’s important to know how private student loans vs. federal student loans differ.

Recommended: Private vs. Federal Student Loans

Student Loan Refinancing With SoFi

If you have private student loans, refinancing can be advantageous if you qualify for a lower interest rate that reduces your overall education debt. Use a student loan refinancing calculator to estimate your savings.

Before refinancing a federal student loan, decide whether you might need to leverage government benefits, like income-driven repayment or loan forgiveness programs. You’ll lose these useful benefits by refinancing all of your federal loans.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

Is it possible to change private student loans to federal?

No, there is no way to change private student loans to federal loans. However, you can refinance your private and federal loans together, ideally to qualify for a lower rate or better loan terms. If you go this route, you will be changing your federal student loan(s) into a private loan.

Is it possible to change federal student loans to private?

Yes, you can change a federal student loan to a private student loan through refinancing. A private refinance lender will pay off your original federal loan, and you’ll have to make payments to your new private lender for the principal balance, plus interest. Changing your federal student loans to a private loan, however, will mean you lose access to federal repayment plans, forgiveness programs, and other protections.

How can you combine private and federal student loans?

You can combine private student loans and federal student loans with a refinance student loan. Student loan refinancing is provided by a private lender, so any federal loans you refinance will become private and you’ll lose the government benefits and protections you had under the federal loan system.

Photo credit: iStock/YayaErnst

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

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The average student loan borrower takes out $29,100 to pay for college, according to College Board’s Trends in Student Aid 2022 report. In 2022, 16% of borrowers had their student loans in default. The amount of federal loans in default represents 10% of the total federal student loan portfolio, or $146.8 billion out of $1.48 trillion.

Federal student loan default, which occurs after 270 days of missed payments, is most common among borrowers with low balances. The three-year default rate for borrowers who owe $5,000 or less is 24%, while it’s just 7% among those who owe $40,000 or more. Overall, the average balance of defaulted student loans is $21,600.

The History and Importance of the Default Rate

What’s known as the three-year default rate is a highly watched number because it’s the figure the U.S. Department of Education uses to determine if colleges and universities qualify to receive federal student aid. If a school’s default rate exceeds a certain benchmark three years in a row, it could lose eligibility for Title IV funding.

The student loan default rates have generally trended down over the last two decades. In March 2020, the Department of Education paused collections on most student loans in default. It’s also offering a Fresh Start program that allows borrowers to easily get their loans out of default and back into good standing.

Recommended: 7 Tips to Lower Your Student Loan Payments

What Is the Average Student Loan Default Period?

While the federal government focuses on the three-year student loan default rate, the rate may be higher over the life of the loan. For instance, EducationData.org finds that 25% of borrowers default within five years of when their repayment starts.

Students who were enrolled in private for-profit colleges are the most likely to have student loans in default, data shows.

💡 Quick Tip: Get flexible terms and competitive rates when you refinance your student loan with SoFi.

The Difference Between Defaulting on a Loan and Being Delinquent

Borrowers participating in the Federal Direct Loan program or the Federal Family Education Loan (FFEL) program are considered in default if they miss nine months or 270 days of payments. Borrowers can face a number of serious consequences if they default on a loan, including losing the opportunity to defer payments or choose a repayment plan.

It may also damage your credit, and your tax refunds may be withheld and applied to what you owe on your loans. The government could even garnish a portion of your wages to apply to your loan. Finally, your loan holder can sue you, and if that’s the case, you may be responsible for the court fees.

With a delinquency, you still have time to start making payments again and restore your relationship with your lender. You’re considered delinquent on federal student loans the day after you miss your first payment, and you’ll remain delinquent until you resume payments and make up the past due amount.

If it’s been 90 days since your last payment, the lender can report you to credit agencies, and those missed loan payments can go on your credit report, which can affect your ability to borrow in the future. And with a bad credit report, you may have trouble getting credit cards, home loans, and even arranging for utilities or homeowner’s insurance.

What Options are Available to Make My Loans More Affordable?

To avoid becoming part of the student loan default rates, it’s important to take action. If you are delinquent on your student loans or think you may be heading that way, you can seek deferment of your payments, or forbearance, which is a federal benefit to stop making payments for a period of time. However interest may still accrue. You could also choose a federal income-based repayment program that bases your monthly payment on your income and family size.

Another option is to refinance your student loans with a private lender. With student loan refinancing, you may be able to get a lower interest rate or more favorable terms to help reduce your monthly payments. (Note: You may pay more interest over the life of the loan if you refinance with an extended term.)

Want to see how much you might save? You can use a student loan refinance calculator to see if refinancing makes sense to you.

Keep in mind that if you need access to federal protections and programs, such as income-driven repayment programs, refinancing federal student loans likely wouldn’t make sense for you. That’s because when you refinance federal loans, they become ineligible for these special benefits.

As you’re pondering your options for refinancing, a student loan refinancing guide can be helpful for walking you through the process.

If, after doing your research, you decide that now is the right time for refinancing, you’ll want to shop around for the best rates and terms. SoFi offers loans for student loan refinancing with low fixed or variable rates, flexible terms, and no fees. And you can find out if you prequalify in just two minutes.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

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No matter your age or your experience, traveling can be stressful. Add kids to the equation and the stress levels multiply. Tickets, boarding times, strollers, snacks, tablets, and tantrums —- it’s a lot to manage. So much so, it can be easy to forget to enjoy the incredible experience of traveling itself.

But that doesn’t mean you have to give up on going on vacation until your kids get older. Whether you’re dreaming of taking your crew to a foreign country or just a nearby city, these tips for traveling with kids could make your next family getaway seamless and memorable (for all the right reasons).

8 Tips for Traveling With Kids

Fortunately, there’s a lot you can do before you ever leave home to help minimize headaches on the road and help ensure your trip is fun for both kids and grown-ups alike. Here are eight tried-and-true family travel tips to try.

1. Pre-Book as Much as Possible

When it comes to tips for traveling with children, the more advance planning you can do, generally, the better. While you can’t anticipate every challenge you might face on the road, you can eliminate many of them by doing plenty of advance scouting.

Of course, it’s always a good idea to schedule transportation and accommodations far in advance to not only secure your reservations but also to potentially save some money.

Beyond the essentials, you may also be able to pre-book a lot of the activities you want to do, including sightseeing excursions and even meals. This can help ensure your family is experiencing a new place to the fullest and that the kids stay busy.

While having activities planned might be a lifesaver, it’s also ok to have a little bit of downtime and flexibility too. Exhausted children can be difficult to manage, so you might include some time for naps or relaxation to avoid meltdowns.

2. Selecting the Right Places To Stay

Researching and booking the right hotel ahead of time might help you find one with fun features for the kids, like a pool or complimentary breakfast. You could also talk with the hotel staff once you get there to inquire about upgrades, cots for the kids, or extra pillows.

If you’re not interested in the hotel experience, you might consider staying in a vacation rental property, which could give your family more space and feel more like a home.

3. Packing Smart

When you’re traveling with children, especially more than one, you might have a lot of stuff to manage. Why make it more complicated by packing more than you need? You could plan out the days ahead of time based on any activities or travel and anticipate what you and your kiddos might wear each day.

If it’s a long trip or you need to pack lots of layers, you could roll the clothes rather than fold them, which might free up some space for those extra outfits your little ones (and maybe you!) might need in case of spills.
As for shoes, you might opt for slip-ons if you’re going through airport security and save the sneakers for the suitcase.

4. Getting the Kids Excited for Travel

You might want to talk to your kids before the trip about where you’re going, how you’re getting there, and what you’ll be doing. If your child is a first-time traveler, they may feel nervous doing something so new if they don’t understand what’s going on.

Even months in advance, you could talk about this fun trip on the horizon and all the cool things you will see and do when you get there.

5. Leaving Plenty of Time

While you likely want to minimize waiting time (and boredom), you also don’t want to have to rush. It can be wise to give yourself lots of time to spare, especially if you’re traveling by plane. This will not only give you plenty of time to check bags and get through the security, but might also give your kids some time to explore all the interesting things at the airport and get some snacks.

If you’re traveling by train or car, there may be fewer pressures, but it can still be wise to build in time for the unexpected. Whatever your mode of transport, you’ll want to make sure that all necessary documentation (for you and the kids) and any snacks, drinks, and essential medicines are easily accessible.

Recommended: Calculating If It’s Cheaper To Drive Or Fly Somewhere

6. Bringing the Proper Gear

For the plane, you might take a backpack or bag that can hold everything you need. From baby wipes and hand sanitizer to chargers and snacks, all the little things could help you feel more prepared for any surprises. If your little one needs a stroller, you could consider swapping your day-to-day one out for something that might be easier to travel with.

If it’s a late flight and you need your kids to sleep in transit, you may want to bring small pillows or blankets to help them be comfortable. While new presents are fun and exciting (more on that later), you might also want to keep your child’s comfort toys or blankets nearby. They might feel more at ease if they have something familiar.

7. Bringing Your Car Seat on the Plane

While it may seem like a major hassle to carry a car seat to the gate and onto the plane, the Federal Aviation Administration (FAA) recommends placing children under the age of two in an approved car seat and not in your lap. Kids can safely ride just like they do in the car — either rear-facing or front-facing.

Also, if you are renting a car at your destination, you’ll need a car seat once you arrive. Car rental companies often cannot guarantee that a car seat will be available.

Recommended: Have Baby, Will Travel: Tips for New Parents

8. Bringing Surprises — and Plenty of Snacks

Kids love surprises, so you may want to buy some new toys or coloring books to keep them occupied during travel time. Also be sure to have lots of their fave snacks on hand. It’s great if they are healthy (fresh and dried fruits are easy to take on the road), but if all rules go out the window and its candy and snacks galore, that’s fun too. And while some parents rarely let their kids watch TV, changing that up for travel time might be one great exception. TV shows and fun games on the tablet might be a nice activity to keep kids busy on a long flight.

Recommended: When Is the Best Time to Book Summer Travel?

Should You Wait Until Your Kids Are Older?

There are pros and cons to traveling with kids at every age. Babies are very portable and typically fly for free. Preschoolers, on the other hand, are out of diapers and naturally curious about everything, so they don’t need expensive vacations to keep them entertained.

Travelling tends to get easier when kids are school age — no more bulky car seats and strollers. They’re still naturally curious but also have more patience. Pre-teens and teens are sponges and can learn a lot through travel — this can be a great age to plan travel to other countries and more exotic locales. Letting them get involved in the planning can also keep them excited and engaged.

Recommended: Airfares: What You Need to Know

Enjoying Your Vacation

You’ve put in the time to plan a vacation your entire family will (hopefully) remember. Now you can get ready to enjoy it! But you might want to accept that some things will undoubtedly go wrong. No amount of planning and outfit coordination will allow you to avoid every single mishap or meltdown, and that’s okay. You can adjust the plan as needed so you and your family can still have fun on your trip.

The Takeaway

Planning ahead, packing smart, and having all the tools at the ready, from snacks to little presents, might lead to your best family vacation yet. Whether it’s your first time traveling with kids or your tenth, it’s always wise to be prepared.

Since travel isn’t cheap (especially with kids), you’ll also want to be financially prepared for your trip. You might want to think about what the trip will cost, set a savings goal, and start stashing cash in your vacation fund well in advance. If you want to earn a high rate and pay the lowest fees, consider opening an account at an online bank. Without the added expenses of large branch networks, online banks are often able to offer more favorable returns than national brick-and-mortar institutions.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

FAQ

What do you need when traveling with kids?

It depends on the child’s age, but these items can come in handy when you’re on the road:

•   Extra clothes (in case of spills, accidents, or travel delays)

•   Hand sanitizer

•   Disposable wipes

•   Refillable water bottles

•   Disposable bags

•   Healthy snacks

•   Books, toys, and games

•   Medicines

•   First aid kit

What is the hardest age to travel with a child?

Every child is different, but kids between 12 and 18 months can be particularly challenging to travel with since they are typically mobile, don’t like to sit still for long stretches, and are too young to understand and follow directions.

What is the best age to take kids on vacation?

Every age has pros and cons but travel with kids generally gets easier after age six.

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As an alternative to direct deposit, SoFi members with Qualifying Deposits can earn 4.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Qualifying Deposits means one or more deposits that, in the aggregate, are equal to or greater than $5,000 to an account holder’s SoFi Checking and Savings account (“Qualifying Deposits”) during a 30-day Evaluation Period (as defined below). Qualifying Deposits only include those deposits from the following eligible sources: (i) ACH transfers, (ii) inbound wire transfers, (iii) peer-to-peer transfers (i.e., external transfers from PayPal, Venmo, etc. and internal peer-to-peer transfers from a SoFi account belonging to another account holder), (iv) check deposits, (v) instant funding to your SoFi Bank Debit Card, (vi) push payments to your SoFi Bank Debit Card, and (vii) cash deposits. Qualifying Deposits do not include: (i) transfers between an account holder’s Checking account, Savings account, and/or Vaults; (ii) interest payments; (iii) bonuses issued by SoFi Bank or its affiliates; or (iv) credits, reversals, and refunds from SoFi Bank, N.A. (“SoFi Bank”) or from a merchant. SoFi members with Qualifying Deposits are not eligible for other SoFi Plus benefits.

SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.00% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.

SoFi Bank reserves the right to grant a grace period to account holders following a change in Direct Deposit activity or Qualifying Deposits activity before adjusting rates. If SoFi Bank grants you a grace period, the dates for such grace period will be reflected on the APY Details page of your account. If SoFi Bank determines that you did not have Direct Deposit activity or $5,000 in Qualifying Deposits during the current 30-day Evaluation Period and, if applicable, the grace period, then you will begin earning the rates earned by account holders without either Direct Deposit or Qualifying Deposits until you have Direct Deposit activity or $5,000 in Qualifying Deposits in a subsequent 30-Day Evaluation Period. For the avoidance of doubt, an account holder with both Direct Deposit activity and Qualifying Deposits will earn the rates earned by account holders with Direct Deposit.

Members without either Direct Deposit activity or Qualifying Deposits, as determined by SoFi Bank, during a 30-Day Evaluation Period and, if applicable, the grace period, will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances.

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