Money and Kids.

Hello Mum and Dad,

This is something for our older children.

As a child gets older he needs to start learning more about the world of adulthood. This is the world they are thrust into in teen years so there is need for preparation while they are still older ‘children’.

We know the child’s mind will absorb learning very quickly and foundations made now will eventually hold the child in good stead later in life.

Money is a major factor in adult life and there is reason to train the child in money management as early as possible. I don’t mean to teach them the rudiments of compound interest (although it would be a good idea) but to learn to earn, save and be choosy about how they spend money.

By no means make them into a scrooge but if they realize that money doesn’t grow in purses and ATMs they’ll have a more realistic idea that work or effort is needed to get the stuff. Instead of taking for granted the gifts and trappings of life at home they need to know somebody had to do something to provide these. It tends to endow the child with greater respect for the provider too.

Empowering the child to earn its own money not only gives it a healthy sense of responsibility but also strengthens its social skills.

· To make something to sell needs particular skills.

· To buy and sell items needs knowledge of values.

· All selling develops social interaction.

· Providing a service needs punctuality and dedication.

· Learning to work smart or hard is a lesson in life.

· Having a partner teaches sharing and cooperation.

· Money management skill is an asset for life.

· Negotiating is an art we all need.

You can see how cooperating in a family venture can bring lasting benefits to unity within the family.

If it’s a church fete stall or a yard sale, children will get an overview of what constitutes money making projects, Helping in whatever capacity they can encourages a sense of worth. Making it even more attractive by sharing the profits with the child is an added bonus to reinforce cooperation.

Individual saving to buy the latest game or electronic gadget should also be encouraged. If parents offer to match dollar for dollar; both parties benefit. Kids want so much and don’t appreciate it if it is just given to them.

Gone are the days of the lemonade stand at the front fence. But kids still swap things at school and can teach each other talents as trade.

Electronic games are a big thing with kids and so is the internet social network. If a kid is good at some game try to get them to give tips and tricks on how to win at the game. These can be printed and sold as a report for a dollar or two.

Chances are the child already has friends on the net and it’s easy to sell to friends. Just give a value product.

All sorts of ideas are around you everyday. It’s simply a matter of seeing them.

Please keep in mind what you are doing here. The reason for this is to teach the lessons the child needs to have in adult life. It is NOT to rip off people to get their money. That will lead to jail later in life.

We want to teach goal setting and planning to achieve that goal. This can start with raising some money for that special toy or gift but it has applications all through life.

Budgeting could come into it and later you could start teaching about the household budget and how it’s managed. The child needs to be familiar with all this before moving out of home or handling their own money.

One of the biggest causes of marriage breakdowns is mismanagement of finances. This can be remedied by you.

Needs and wants have to be distinguished and the difference made clear. The latest fad often ends up in the bottom of the cupboard while a need goes unresolved. Teach them to prioritize their spending while still being able to have some fun.

It’s a matter of seeing where they’ll get more value. Value is the crux of spending. Very often the cheaper option will do just as well. And for children it is often the best choice, given their ever changing wants. As they grow they’ll get to know how much effort they need to put in to get what they want. They’ll realize about value.

Sometime soon in teenage years they’ll get a part time job or may leave school entirely. They usually get a shock at having to work longer hours and having a boss that can cut off their income if they don’t perform.

They’ll waste some of their hard earned money on good times but that is expected.

If they have been well taught, they’ll put some aside for bills and expenses just like responsible adults. They will then be on the road to financial independence; thanks to you.

Would you want to know the gender of your unborn baby?

Does its gender matter?

Would you take advantage of ‘designer’ baby technology if it was more affordable?

If you were told your child would be born with mental or physical deformities, would you have an abortion?

Let me know at iqchildren@gmail.com

If you would like to comment on these issues click the ‘comment’ below.

IQTeens is up and running for teens and parents who want to help. Call in for a while. The format needs to change so if you have suggestions; I’m always willing to listen.

If you see someone without a smile

Give them one of yours.

Jay Ross.

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