Comments on: Part 5: Money Lessons

By: Susan Mladenovich

Susan Mladenovich — Wed, 25 Mar 2009 06:52:00 +0000

I have had my kids have their own bank accounts since they were 6 years old. They have a debit card because that way they understand how that works (no magic money machine). The frustrating thing is the tax being extra so my son would have $10 and see an item that cost $9.99 and didn’t have enough. Until he was about 10 I covered the taxes to avoid confusion.

Also, my older son (12) saw the amount of money for my husband’s pay and accused us of lying about not having any money. We explained about taxes and insurance (amazing how many type of insurance there are) and he got a dose of reality.

And the jars are helpful for the kids to see that the money is not a neverending resource. When the jar is empty it is the end.

Susan

By: Fannie

Fannie — Mon, 23 Mar 2009 11:44:06 +0000

My 4 year old had 5 bucks, he decided to buy 12 pairs of star shaped sunglasses for birthday party at our local supermarket for $4.39.
I asked him if he really wanted 12 pairs, and even after offering him to return the items and shop to the discount store next door, he still refused and was happy with the fact he just spent his whole money
My 7 year old spent 50 cents, and he’s glad he kept all his allowance.
I guess age makes a little difference in behaviour but also personnality, my second one is very generous, he often thinks about the others and is glad to offer half of his treats to anyone who asks him.

I talk to them a lot about money and budget, growing up had no idea how much my parents were earning (they refused to say) so I had to sneak on their payslips.. Crazy that money is still a taboo nowadays.

By: Amber

Amber — Fri, 20 Mar 2009 20:24:34 +0000

I recently had a conversation about money with my 4-year-old, who was asking about a big sign at the mall. She wanted to know why the people in the signs were standing around and laughing, so I explained that they were ads. The people were showing us their clothes so that we would want to buy them. She was pretty taken aback, and decided it wasn’t a ‘nice’ thing to do to try to sell clothes.

So then we talked about how people make money. About how some people sell things, or make things, or help other people out, and that they get money for it. There’s nothing wrong with it, but we have to decide what to spend our money on. She was actually really interested, and I was glad that we had that opportunity to talk about this stuff.

By: Pol*

Pol* — Thu, 19 Mar 2009 21:35:31 +0000

My parents always aid it was RUDE to talk about money and how much we paid for something… I got in trouble for even asking about money. And I was not invited to go grocery shopping so even food pricing was a mystery. When I moved out of the house I was completely ignorant (not innocent as my parents may have hoped).
The good part was that I did know ( to the penny ) how much I had, how long it had to last and I was good enough at math to figure out that I had to be very careful with that small amount.
I had no idea what may happen if I was late with a bill so right from day one I paid on time and in full.
My children know a whole bunch of the details about why we can’t have everything exactly when we want it. They understand the idea of delayed gratification and making sacrifices to get to the goals sooner. And they have seen me go into a store and leave grumbling about not finding what was on the list, or the prices of fresh produce being criminally expensive so I can only get one red pepper instead of 3, etc. etc.
Truthfully the 7 year old doesn’t give a boo about it yet, but the 12 year old is very interested and asks questions all the time.

By: Saver Queen

Saver Queen — Thu, 19 Mar 2009 17:52:29 +0000

michelle, lol, that is so funny! i’m sure you’re stepson wouldn’t have forgotten the sugar! maybe in return for the money lessons he can offer your husband some baking lessons!

By: michelle

michelle — Thu, 19 Mar 2009 16:41:53 +0000

Thanks SQ! He’s a good kid, and always offers to help in the making process…and my hubby made the cookies this past weekend while I was at work and my stepson offered to help and hubby told him not to worry about it – then forgot to add sugar…next time my stepson will help! Gross cookies by the way lol! Hopefully we can get some more short lessons in here and there…it’s just too important to ignore!

By: Erin

Erin — Thu, 19 Mar 2009 16:11:41 +0000

I completely related to this blog. Unfortunately, my parents didn’t teach me a thing about money and used the ‘innocence’ thing as an excuse, but really it was about power. I am trying very hard not to be controlling and opinionated over my children’s allowances. It’s very, very hard. lol. But I’m getting there. It’s hard to see them spend their money on cheap, horrible things when I finally know how much a dollar, even a penny is really worth, but it’s a lesson that they themselves must learn. Thanks Gail for all your advice and helping me to be a better parent!

I have to add that my daughter (who is now 7) when she was 4 wanted to buy something and I told her that we didn’t have money to buy it. She then told me how we should just go to the bank and buy some money. lol. It’s funny to see through their eyes sometimes. The money lessons started that day. lol.

By: Saver Queen

Saver Queen — Thu, 19 Mar 2009 14:19:11 +0000

Wow. Good for you, michelle! I’m so impressed that you were able to get through to him. Good work. And there are sooo many homemade treats and snacks you can make that can be way more satisfying than chips. Maybe if you make the cookies together it will be a lesson in learning how to make do and find enjoyment with what you already have.

By: michelle

michelle — Thu, 19 Mar 2009 13:35:57 +0000

I made a comment to my stepson a couple weeks ago…he made a request (almost like a demand) that we at least have chips in our house the next time he comes! I am very serious about our budget and there is not a lot that goes to groceries, so I choose the green peppers and broccoli over chips…not a hard decision….I digress…so I told him he can sit down with me the next time I do our weekly budget, and help me with the grocery list and when diapers, formula, baby food, and other necessities are done if there was any money left from the $90 that we have, then we can get some chips. Well, he almost swallowed his tongue and his eyes almost popped out! He exclaimed “90 dollars???” that’s all?” I guess his mom would rather buy groceries and clothes and internet than pay the phone bill (which is regularly cut off). So he knows nothing about it…It was a short but good lesson and there was no more talk about chips…I did tell him that next time we would make cookies…to lighten the blow. But I felt good telling him that because everyone else just gets things for him (and he’s old enough to understand…12)