On why more parents need to start talking to their kids about finance.
Growing up, money was always a hush hush matter in our household. Dad will earn, mom will set the budget and expenses and the kids will play in the background. If the kids try to be nosy around financial matters they will be quickly reminded that they do not have a say and the adults actually have everything in control. Oh, how i wish they had.
Money was treated as a higher form of power whom we are afraid to displease lest we have to face it’s wrath. As a kid, I often thought of money as someone who you would get intimidated of if you met IRL.
As I have expressed, I never had the freedom to participate in money related discussions (they were very very rare even between my parents) and I was always advised to keep my money safe. I didn’t know of the monster called inflation(nor the angel called compounding) back then and though my parents knew of it but I am sure that they, like many other people didn’t really grasp the effect of gradual inflation.
Then, suddenly I was earning and was hit in the face by an overcoming desire to own every stupid thing capitalism has to offer. Don’t we all have YOLO moments, except that I had it for every thing I could barely afford. I still do but I have learned to control it much better. A very clever scam is that some of our most desired things are placed just out of our monetary reach, so we work hard, keep saving and finally be able to buy, giving us a sense of accomplishment so that our brain releases a much needed dose of dopamine, and then it’s back to our routine. Anyways, I again get the same advice but this time I have a friend called the Internet on my palm. I, gradually, figure out good investing strategies and start being sensible with it, atleast I feel like I am. It felt like going through puberty again, nobody prepares you for it, it happens suddenly, at first you are overwhelmed but then you start to figure it out and find how it can make you feel good. Money, now feels like that endearing and lovable senior whom you look forward to hanging out with but always have to respect for all the things they have accomplished.
So please, let’s normalise talking to young ones about investing, talk to them about financial matters and most importantly, talk about how it can bring independence. This will actually make them feel that they are contributing, raise their awareness on financial matters and ultimately, this will help them realise the value of money much quicker.
This is of utmost importance in today’s digital age, as helping children to get the hang of concepts like importance of savings and investing will aid them in later life. It will also help them to wrap their heads around the fact that money is actual and not just a few numbers on a screen.
Honestly, I sometimes struggle to get my head around all this.