How to talk with your children about money!

I get asked a lot, a whole lot, about how parents can teach their children about money. It’s a hard question to answer without doing some prep work first! Sometimes the “talk” becomes very overwhelming to parents, and we all know what happens when we get overwhelmed…we do nothing! To start, the best first step is to just start bringing up the topic of money more in your household. The “talk” doesn’t have to be this big conversation about setting up money goals, how credit cards work, to avoid all debt, blah blah blah. The first time should be a quick and open conversation about money in general. 

Here’s an example, imagine I’m talking with my Andie but she’s 14. “Hey Andie, guess what I got paid today! What should I do with all that money I made?” I’m sure she would yell, let’s go to the mall! Where I would respond, “What about paying our mortgage? Should we also pay the electricity bill to make sure you can blow dry your hair tomorrow morning?”

See how simple that was! It was an easy way to get my daughter involved in the day to day money finances! An easy way to migrate the question into your conversations is to tell your kids, I just took my own money quiz! Do you want to know how I scored? Would you like to see if you can beat me on the quiz? You can both take your Financial Prediction Quiz here!

Now believe it or not, but your children are already taking notice of what’s happening with money in the household. Every time you mention a coupon, they’re thinking about being on a budget. If you yell at your spouse about spending too much on a TV, they’re assuming money makes people fight. I want you to start taking a mental note everytime money is brought up in anyway during your daily life with your kids. Is it being brought up on a positive note or negative note. What messages are you already telling your children without even knowing you are?

Once you have a better idea of the money language you are already utilizing in your house, think whether this is the message you want them to hear or not. Maybe you need to change your tone, your energy around money, or where you focus your attention with money. Is it always on the never ending bills, the high credit card debt, or the huge mortgage payment? Then try to bring up income and savings more. Learn about my savings technique through the use of my own daughter’s piggy banks!

Make money a constant conversation in your household, and this will encourage your children to ask more questions. It will make them more curious and less afraid of money! I would bet you want your children to have good money values, to understand it takes conscious effort to have money and to save it. No one is going to do it for them, but they don’t know this until you express how you feel about money. 

To help ensure your money lasts the test of time, and that your children will be financially secure even if you are no longer here, you should follow these 5 KEY steps!

  1. Make money a topic in your family discussions. 
  2. Share with your children what happened at your last meeting with your financial advisor, what you learned, how you’ll make changes, and what you’re working towards. These are all great lessons for them to start hearing on a regular basis!
  3. Teach them about the sacrifices you made to help pay for their college or to support them.
  4. Talk with them about expectations! The biggest disconnect comes when people in a relationship have different expectations and no one knows about them! Tell your children how long you will support them and why you are willing to do it. What do you expect of them in return for this support? Ask your children what they expect from you, what they expect for their future, and what they expect for their children.
  5. Bring your children in to meet with your advisor. I give my client’s children free Strategy Sessions because I know how important it is to start on the right foot with their money. So they don’t feel like they are constantly playing catch up, that they can go through life with a sense of financial security. 

If your daughter is older, read through my first book: Strong Woman Stronger Assets and to the action steps together! You can do a book night together to add some extra bonding time and help her mature into a Strong Woman just like her mama ;)!

Additional resources to help you get started! 

A great book to read with your children is Secrets Self Made Millionaires Teach Their Children! Click here to read my book review on it!

I’d love to talk with you about the steps help get your own money under control and to show your children how to do the same! Schedule my 10 minute call with Jess!