Mother’s Day is Sunday, and chances are good that your mama has taught you a lot of what you know about money — even if you haven’t always listened to her advice. So when you give your mom flowers this weekend, be sure to thank her in the card for always wanting you to be responsible and successful.
If you’re a parent yourself, there are a lot of ways you can put your kids on the path to financial success while they’re still young. Here’s a sampling of ideas:
- Put their allowance on plastic. Teaching them early about how debit and credit cards work will serve them well as adults when it’s their own money they’re spending. Obopay has a product perfect for this.
- Prioritize retirement over college. You can take out a loan for college, but you can’t take out one for retirement. Even if you want to give your child the world by paying for his or her education, make sure you max out your retirement plan before you start making contributions to Junior’s college fund. By getting an early start on retirement saving, you can free up more money down the road for education expenses.
- Live by example. This is the most important one: A University of Arizona study last year found that kids learn their spending habits from mom and dad — not from books or school. Use that influence wisely.
One Comment
This article is so very true! My mother had always told me to save for a rainy day and don’t spend all your money. Mom is from the old school when you literally put money in the sugar jar to save for vacations. Being raised by a single parent, I know the importance of a rainy day fund. There’s nothing like it when life changing financial events happen. Thanks MOM!
One Trackback
[...] useful products when handled properly. Consider putting their allowance on a prepaid debit card to teach them the practical applications of plastic — and that when the money runs out, the fun stops [...]