Being part of the “sandwich generation” can feel overwhelming. As Jendee De Guzman, a Registered Financial Planner, explained to Financial Adviser PH, it’s the delicate balancing act of supporting both aging parents and children while also managing personal financial goals. For many, this struggle often includes managing debt while trying to achieve financial freedom.
De Guzman, who grew up witnessing the financial challenges faced by her parents, understands this all too well. “I saw my parents constantly struggling with debt, and I thought it was just part of life,” she shared. “But as I grew older and entered the workforce, I realized that it didn’t have to be that way. Debt should not be a cycle that’s passed down through generations.”
For those in the sandwich generation, balancing the needs of both children and aging parents often means they take on extra responsibilities, including financial obligations. “When my parents fell ill, I realized how important it was to have a plan in place to manage our finances. I had to face the reality that supporting both my family and parents would require careful debt management,” De Guzman said.
The key, according to De Guzman, is to take control of your financial situation. “Financial freedom starts with managing your debt. I had to focus on creating a financial plan that helped me pay down debts while ensuring that I could still support my parents’ needs,” she explained.
De Guzman suggests that those in the sandwich generation prioritize paying off high-interest debt first. “Credit card debts and personal loans with high-interest rates are the most detrimental to your financial health. Start there, and as you clear these, focus on building an emergency fund to ensure you’re not relying on credit when unexpected expenses arise,” she advises.
For De Guzman, achieving financial freedom also means ensuring that your parents’ needs are covered without jeopardizing your own future. “By taking steps to manage your finances wisely, you can stop the cycle of debt and build a secure future for yourself and your family.”
Through disciplined planning and a mindset shift, De Guzman’s advice is clear: with the right tools and approach, the sandwich generation can break free from financial burdens and set themselves on the path to financial freedom.
