LWM

Kids & Money

I grew up in a single parent family with 6 brothers and sisters so there was little talk about saving money, there was no money to save.

I didn’t teach my kids lessons on saving as nobody taught me, now I know and it is too late to do SOME of the things I have learned but not too late to do all of the things I have learned as far as it relates to my children. Remember my kids are 19 and 21 years old now!

Teaching our kids how to handle their finances and money is not the responsibility of the education system (where they barely lean anything anymore). It is our responsibility!

I remember getting an allowance off and on but it was never much and I certainly do not remember having to do anything to get it. Remember the old saying; “money does not grow on trees”? I sometimes wonder if our kids still think money just shows up when you really need it.

Instead of an allowance, we need to use words like commission and payment. If you do not work, you do not get paid! The real world is tough on those who do not have money to pay their bills and children need to know that if they want something they have to earn the money to pay for it, parents can help out as they feel appropriate but kids must not expect to get anything they want at anytime without some personal commitment and sacrifice.

Start saving when the kids are young, get a big clear container and have them save their money right where they can see it grow (money in the bank at a young age is hard to comprehend).

Let you older kids in on the envelope system secret right away, give them 3 envelopes (Spending, Giving & savings) and when they are old enough (13-15) open a checking account for them and go over the monthly statements with them.


Feel free to send me a PM if you have questions or you can add them to the comments section if you feel others can benefit from the discussion.