Category Archives: Kids & Money

Fun ways to teach kids about money

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May is observed as child’s month, so I decided to search the Internet for interesting and fun ways to teach our children about money and personal finance. Equipping our kids to handle money wisely is one of the most important skills we can give them.

It is my dream that one day, there will be a financial literacy curriculum in all schools, so that our children will be fully prepared to deal with managing, multiplying and maintaining their money as adults.

Let’s look at some websites that offer stimulating money lessons and products: Continue reading Fun ways to teach kids about money →

Raising Money-Smart Children Pt 2

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In these challenging economic times, when the spending power of a dollar is declining but expenses keep increasing, it’s important for parents to equip their children with the necessary skills to become good money managers.

Last week we learned how Andrea Reid-Davis, a realtor and shrewd investor, has successfully taught her daughters Gabrielle, 18 and Gayan, 14 to save and earn money. Their wisdom with money belies their years, and this week we’ll look at some of the strategies they have used to enrich themselves.

The Value Of Work

One of the key principles that Reid-Davis has passed on to her daughters is the value of honest labour. She insists that children should be very aware of the work that their parents do to get money to take care of them. This is even more important when the adults have a family business, she confirmed, as children should be encouraged to participate by working in the enterprise. Continue reading Raising Money-Smart Children Pt 2 →

Raising Money-Smart Children

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“I just negotiated to reduce my bill by US$20!” shouted Gayan excitedly.

Her smile shone brightly not just because of the rows of metal on her teeth, but also from her pleasure in successfully making a deal to save money. I looked up in amusement, wondering what on earth a 14-year-old kid knew about the art of negotiation.

I turned to her mother, Andrea Reid-Davis and asked her what kind of negotiations her daughter was involved in. She noted that Gayan had just bargained with the orthodontist’s assistant to cut her bill for fixing her damaged braces.

Reid-Davis explained that because Gayan kept eating the wrong foods, she would regularly break the bands on her braces. To ensure that Gayan realized the consequences and costs of her actions, the smart mother decided to have Gayan pay the bills from her savings. Continue reading Raising Money-Smart Children →

More Money Values for Kids

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“Recently my teenaged daughter begged me to take her shopping for clothes for a party. All the outfits she wanted would have cost at least J$15,000, and I refused to spend that much money. Although I told her that I couldn’t afford it, she insisted that I use my credit card and pay for it later, as her friends’ parents do. I’m very worried about her attitude towards money. What can I do to correct this?”

Last week we looked at how many of our children were getting caught up in the massive spending spree that has overtaken Jamaica. They are heavily influenced by the ‘bling’ culture that’s portrayed daily in the media, and they can feel inadequate if they are not able to buy the latest fads.

Unfortunately, some parents are helping to feed this consumer spending habit by accommodating their children too much and giving them everything they want regardless of the price. It sometimes seems that the adults are trying to make up for all the things they didn’t have as children, by overspending on their own kids.

In order to raise financially savvy and independent children, it is very important that we teach them the right values about money.

Continue reading More Money Values for Kids →

Money Values for Kids

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“My nine-year old son is always asking me for the latest video game, shoes, or DVD, with no thought about the cost of these things. I know I spoiled him when he was younger by buying too many toys and clothes for him. Now I’m worried that he’ll grow up without a clue how to manage money and live within his means. What can I do to teach him about money?”

Just like many adults, today’s children are riding high on the massive wave of consumerism that’s taking over our society. It’s easy for them to succumb to peer pressure and feel that they are not ‘with it’ if they don’t have the latest gear- Heelies, Crocs, Motorola flip phone, Playstation Portable, IPod, and more.

What can parents do to combat all these negative spending influences? Our challenge as care-givers is to substitute positive values that teach children about money – how to earn it, keep it, and make it grow.

To be successful in re-programming our kids, we must first be good role models by practicing successful money management too.

Continue reading Money Values for Kids →

Money Management for Teens

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“My 18 year old son is driving me crazy. He has a great summer job and every cent he earns is spent on clothes, cell phone calls and parties. I’ve tried to encourage him to save some of his pay, but he refuses to listen to me. How can I get him to understand the importance of good money management?”

Talking to your teenager about money management can be a thankless task. I remember my mother’s pleas several years ago as she tried to encourage me to save, and I recall that her advice went in one ear and out the other. The good news is that at some point I saw the light, so there’s always hope!

How can you get your teenager to grasp the importance of starting an early savings and investment plan? As with any other communication issue with a reluctant listener, it is crucial to present your discussion from his point of view.

If you try to force your ideals and tell him why you think it’s essential to save, he might just tune you out as I did many years ago.

Continue reading Money Management for Teens →

Teaching Your Children About Money

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“I grew up with a poor but loving grandmother, and money was always hard to come by. Finances were never discussed at home, and I think that not learning how to save or spend money properly may have caused me to really mess up financially when I started working.

“I have a 6 year old daughter, and I don’t want her to suffer the same fate. How can I teach her good money management skills from now?”

Most mothers are great at focusing on life’s necessities – ensuring that their children are well fed and clothed, that they go to school regularly, and that they’re protected against the evils of the world.

Unfortunately, many parents neglect an important lesson that can be taught to children right in the home- how to be successful with money.

Continue reading Teaching Your Children About Money →