Wednesday, November 18, 2009

Sue Scheff: Money Talk with Your Teens

Part 6 of my sneak peek series inside Dr. Michele Borba's latest book, BIG BOOK of Parenting Solutions, brings up a topic that is not only timely with today's difficult economy, it is critical parents understand the importance of how to talk to your kids about money and finances.

"Are you talking to your kids about money? If not, you'd better!" - Michele Borba

Approximately fifteen hundred high school seniors were asked basic facts about personal finance, and the great majority were stumped by those questions: 95 percent scored below a C. So it should be no surprise that another survey found that 80 percent of all college freshman admitted to never having a conversation with their parents about managing their money. What's more, almost one in four of these teens say it's just fine to blow as much as $500 without checking in with Mom and Pop. If you're concerned about your kids' future spending habits, than start the "money talk" now. Let them know that money doesn't come easy and that you do have clear expectations and limits about their spending (and then tell them what they are).

Step 1. Early Intervention

Identify your parenting style. Here is a quick quiz to see how you doing to help your kids learn about money management. Check the statements that describe your typical family: (page 553-554 will offer you descriptions you can review).
Be a good role model. Kids always look to us as the example to copy. (continued on page 554)
Monitor TV Consumption. Television is the one of the biggest culprits in fueling kids' spending urges, and commercials are relentless in trying to get kids to buy, buy, buy. (continued on page 554)
Explain how money works. Start money lessons when your kids are young. (continued on page 554)
Use real-life examples. Take your child to work. Show your daughter how you balance your checkbook. (continued on page 554)

Step 2. Rapid Response (read pages 555-556 for this wise advice)

Step 3. Develop Habits for Change (read pages 557-558 and start raising a money-smart child)


Cut Impulsive Shopping by Teaching Kids to "Think Before Spending"

Set a household rule that your child must write down any pricier intended purchase and postpone buying it for at least twenty-four hours. A younger kid can draw it on her "wish list". The wait time could vary from an hour or day to a week or month depending on the child's age and maturity. If she loses interest before the time is up, even she will agree that she didn't really want that item after all.


Preschooler (page 558)
School Age (page 558)
Tween (page 558)

Next sneak peek: Could your child have Oppositional Defiant Disorder (ODD)? - page 78

For those that don't have time to read, this is the perfect book for you since it is not the type of book you sit down to read. As parenting questions come up, you can go straight to the index and find the page number. Immediately you will see the pages divided by boxes, quick tips and advice and easy to read and understand resources. Did I mention she also gives you proven research and statistics?

Order The BIG BOOK of Parenting Solutions today! Whether it is for yourself or as a gift, you won't be disappointed.

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