Money Matters
Pay Bills Without Double Checking
Trust us, we know how tedious it can be to sit down with your checkbook and make sure everything’s balanced, or to go through a long restaurant bill to ensure everything is accurate. The truth is, though, humans make mistakes, and double-checking all your bills and tabs is an important part of being fiscally responsible, says Godfrey. Let your child see that you’re a responsible spender by showing her how you take the time to go over all the numbers.
Put Everything in Savings … or Squander It All
Good finances should be all about balance, says Andrea Travillian, author of Little Kids Big Money: Tools for Teaching Kid Friendly Finance. “If you spend all of your money, you are not preparing [for emergencies], and if you save it all then you miss out on lots of experiences,” Travillian says.
Use Money as a Band-Aid
If the first thing you do when you’re feeling sad is run out and splurge on something extravagant, you could be setting your kid up for disastrous spending habits in the future, says Travillian. Impulse and emotional spending are hard behaviors to break, so you really want to try your hardest to keep your kid from developing them in the first place.
Ignore Your Mistakes
As we mentioned before, everyone messes up from time to time … it’s only natural. “Money mistakes are great teaching moments with your kids,” says Travillian. “If you mess up when you purchase a stock, or spend too much on your credit card, use it as an opportunity to discuss the mistake with your kids.” This could potentially help them avoid making the same mistakes themselves when they’re older.
Spend Frivolously
It’s important that you show your kids that you understand that money has value, says Lori Mackey, founder and CEO of Prosperity4Kids, Inc. “Stop wasting your money on things that don’t have value in your life,” she said. “Ask yourself two simple questions: ‘Do I need this, and is it worth it?’ If not, save your money and move on!”
Overspend for Gifts
The true meaning of a gift shouldn’t have anything to do with its value, and Godfrey suggests watching how much you spend when your kids are involved. Teach your children from a young age that it’s the thought behind the gift that matters the most—how much time it took you to make it, the fact that you took time out of your busy schedule to hang out with someone, etc.—and not the price tag attached to it.
