The relationship that our teens have with money is going to shape their futures and mindsets, and as a loving parent, we want our teens to learn how to reach financial abundance and financial freedoms using their gifts, talents, and an understanding of how money can work for them.
Through teachable moments and a healthy support systems, our teens can learn to live and thrive independently.
First, we have to take into account that society will encourage your teens to live beyond their means.
Your lessons as a parent can provide the faith and ability to develop a healthy money personality.
I encourage transparency with money in terms of what it costs to live. Without the transparency, teens are unable to formulate an understanding of their goals of living independently. Open conversations about real-world experiences provide benefits for years to come.
Conversation points depend upon age, of course. Here is a helpful list of discussion topics:
The cost of a new car versus a used car
How compound interest works
Bank and credit card fees
Showing them your paycheck- the before and after taxes amount of money
Mortgage costs and rent costs
The cost of utilities: Electricity, gas, water, trash, phones, internet, cable
Grocery costs and restaurant costs
Transportation costs: gas, insurance, oil changes, tires, and, unexpected repairs
I encourage scheduling a budget night with your teens and an openness about reaching financial goals.
Teens with jobs have more opportunities to learn about money. It's a perfect opportunity to instill pride and money management skills. Sometimes our teens do not have time for a job, and in these instances, I encourage an allowance to provide teens with an understanding of managing the money that they have.
Next, your money mindset is monumentally important. The messages we intentionally and unintentionally send our teens about money will potentially shape them for life. When we teach our teens that there is always a solution to each problem and we show them ways to find that solution, teens know they have the power and confidence to be confident with their money mindset. Money conversations should be positive, hopeful, and realistic all at the same time. When parents share fears of scarcity, it instills a fear of scarcity in our teens.
Learning about the relationship of money and time is also critically important. How many hours of work do you need for that item you wish to purchase? Is the item worth five hours of work? Possibly. Or possibly not. It's important to grasp that relationship.
Empowering budgeting lessons and lessons on investing make such a difference. If this is out of your comfort area, seek the support of teachers who can share these powerful lessons.
In our company, Mrs. Evelyn Educates, LLC we offer money management lessons as well as an entrepreneurship course. We find our courses to be empowering and life changing, and we would love to share our life tips with your teens. Don't hesitate to reach out. We learn about long term thinking and opportunity cost.
Your influence matters, and seeking education for your teens matters.
Money isn't limitless, but the lessons for success absolutely are.
We're here for you.
Wishing you success and sending love,