We all make mistakes – that is how we learn. Writer Terri Cettina asked me how to handle kids money mistakes and was surprised when I cheered the idea!
How to Handle Kids’ Money Mistakes – Eqiufax
We all make mistakes – that is how we learn. Writer Terri Cettina asked me how to handle kids money mistakes and was surprised when I cheered the idea!
How to Handle Kids’ Money Mistakes – Eqiufax
Last month I had the opportunity to be a guest expert on the Martha Stewart Living Today Radio Show (Sirius XM Radio channel 110) to talk about kids and money. There were some terrific questions from callers during the show, so we have made videos from various segments in case you may have missed the show. The first video I posted a few weeks ago covered the many reasons why it is important to start young when talking about money with kids. (Click here to watch that first video.) Below is the second video in the series where I fielded a caller’s questions about how to handle the topic of money and budgets with kids during divorce, how to approach an allowance, wants vs. needs, etc.
Have you had a similar situation? If so, how did you handle it and what worked best for you and your kids? Or do you do you need some advice for you and your family? Please add your comments/questions below or send me an email: Susan@moneysavvy.com
Let’s take a look at compound interest as a way to help your child understand why saving is so important. Remember that $4 spent each day on “I want” items? With that $4 of “I want” money, pose this question to your child: At age 12, you decide not to buy soda or snacks. Instead, you save the $4 a day and put it into a savings vehicle, such as a long-term CD that pays 5 percent annual interest, and leave it alone. At age 67 when you are ready to retire, your savings totals how much: (a) $1,159, (b) $25,355, (c) $80,352 or (d) $427,025?