Morgana Rae on FOX-TV: the ABC’s of Spending and Saving
Ever wonder how to speak to your children (or yourself) about money?
I was back on FOX-5 News in Vegas last week, this time to answer the question, “How do you teach your children about Spending and Saving?”
I love that question!
Take a look at my on-air response, and then grab my “cheat sheet” below. 🙂
Affordability: remove the phrases “we can’t afford it” or “we don’t have the money” from your vocabulary. We don’t want to teach kids that money is the monster that gets in the way of what they want to have, do, or be. (This thinking sets up an unhealthy dynamic with money that can have negative consequences in adulthood.) Instead of making money the obstacle to what your child desires, switch the focus to HOW they can raise the money to buy what they want. Teach your child that money is always there if they’re resourceful and committed. (And this is a good mindset for adults, too: we get better results when we believe this.)
Brainstorm and Budget—when your child wants something that you’re not ready to purchase, you can respond with encouragement and creativity: “Let’s look at the price and brainstorm all the ways you can come up with the money for this. I know you can do it if you really want it, and I want to help you come up with a plan.” This teaches your child to prioritize. Your child will learn to create and save wealth for what’s important. At the same time, the more you encourage and affirm your own child’s resourcefulness, the more confidence your child will have in life.
Course correction instead of failure – Keep an eye on your child’s choices to prevent anything that could be illegal or dangerous, but allow your child to make mistakes, and learn why they got results they don’t like. We protect our children from harm, but not from consequences. Teach your child to bounce back from disappointment, and find the positive lesson. Resilience is more useful than perfection.
What do you think? Please post your comments below!
Wanna reprint it for your blog or e-zine? Cool! Just post a “written by Morgana Rae” credit, and tell your readers to get my FREE Money Magnet Video Gift at www.morganarae.com. Thanks!
Thanks Morgana for the uplifting, empowering interview and fresh perspective as always. When are you going to create a financial alchemy book for children? That could be fun if it feels right to you. Cheers to our financial empowerment!
Thank you Beth! A book for children is a great idea. I’ll have to give some serious thought to that…