Today, Amy Walls of Thimbleberry Financial shares her philosophy on kids and money - how we can teach them financial lessons today that will pay dividends later - literally and figuratively.
It's important to lead by example, be intentional, and teach kids about money. Those little sponges often pick up on more than we realize. It's also OK to let them fail. Failure can be a great teacher, and it's better to learn by losing $5 now than $500 later.
We also discuss the idea of allowances. It needs to set up and align with your desired outcomes, and it can be part of a good framework. It allows kids to be part of a community, have a job and job description, and even earn bonuses.
You can also teach your kids about short, medium, and long terms savings - even introducing concepts like compound interest and delayed gratification. Amy explains how you can easily do this.
Finally we look at teaching spending habits.
Amy's Blog Post on having the money conversation with your kids: https://thimbleberryfinancial.com/money-conversation-with-your-kids/
Resource: Money Doesn't Grow on Trees Book