Financially Savvy Youth
Hey BFF’s
This post is to the amazing parents, grandparents, those thinking about being parents, crazy aunties (aka me), and uncles. There is nothing wrong with giving to your child or wanting to provide them with a life better than yours. However! It is wrong if they don’t understand the value of a dollar and what money can do.
Money puts a roof over their heads, provides clothing, food, electricity, insurance, vacation, and money gives you the life you dreamed vs. the life you dreamed of having. In other words, make your dream a reality.
So parents listen up!
Don’t give your child everything. Teach them to budget. Teach them to tithe 10% and save 10-15% of everything they receive, and the rest is theirs to spend. Sounds pretty easy to me.
Why? Teaching these essential habits now with $5 or $50 will make it seamless when they are making $50,000, $100,000, or $500,000. Open a checking and savings account for them. Do not link both accounts to the debit card. Allow them only to have access to the checking account. The savings account is a “set it and forget it” account. Meaning they are not allowed to dip in it at their leisure. Set a dip in date. Only on that specific agreed upon date may they take 5% or $10 (whatever you decide) as a reward for saving. Teach them to save for the toys, clothing, jewelry, or anything they want.
When you go shopping, let them know their budget. You have $5 and nothing more. If they come to the register with $6.25 worth of products, don’t give in and give them the $1.25. In the real world, when they are away from home, in college, or grown and living on their own, something goes back if you don’t have it. Every once in a blue, you can help them out, but they need to understand how money works.
Show them how to pay bills & how you keep the house afloat. You don’t have to show them what you bring home weekly. Allowing them to understand what it takes will be mind-blowing for them. You’ll be surprised at the shift you will see in them.
OK, you awesome mom and dads, grandparents, crazy aunts, and uncles, let start building financially savvy youth who will become financially unbothered adults.
Welp friends, that’s all I have today. Don’t forget to follow me:
