Updated: Jan 27
As a child, I can recall my parents always having a discussion about bills and money. It drove me crazy to hear that old phrase, "Money Doesn't Grow on Trees". I told myself, I would never say that phrase or have those money issues when I became an adult. Boy, was that a pipe dream!
As parents we work diligently to provide our kids with the best education, the best environments, the best of everything. We attempt to give them everything that we feel that we did not have as children.
Have we taught our children to be financially knowledgeable? I can say that I failed in this area. My wakeup call was when my brilliant husband wanted to get my daughter a cell phone, guess who got stuck paying that nightmare of a bill. I found myself telling my child, "Money Doesn't Grow on Trees". I drilled it in her head, told her about assets and liabilities, the whole nine yards. My daughter got her first job and opened a bank account. After, all that drilling I thought she understood, until she got to writing checks without reconciling her bank account. And the nightmare goes on, we sent her off to college and informed about staying away from the credit card pushers, unfortunately, she got hooked. Guess what, I had to give the tough love act and she had to pay for her own mistake.
Can you recall opening your first bank account, getting your first credit card, buying your first home, etc., and how it made you feel? Did you find yourself saying? I am on top of the world! This is a great feeling of empowerment.
We as parents, we can do better, along with giving our children the best, teach them to be financially literate. The Federal Deposit Insurance Corporation (FDIC) offers an excellent program "Money Smart", which teaches the following:
- an introduction to bank services - an introduction to credit - how to choose and keep a checking account - how to keep track of your money - why you should save your money - keeping your money safe, your rights as a consumer - how your credit history will affect your credit future - how to make a credit card work for you - loans, know what you're borrowing before you buy - what home ownership is all about
This program is a great and useful educational tool to aide in teaching my children about being financially knowledgeable. And case, you are wondering, my daughter reports she is debt free, thanks to the Money Smart Program.
Please take a look at this link FDIC: Learn Money Smart, you will not be sorry! The website offers a free on-line seminar. You are never too old or too young to learn how to become financially literate, they have educational tools for all ages. This is one of the best gifts to give to your children!