What is the Best Piece of Financial Advice Every Parent Should Give His Teenagers?
It is alarming that most primary and secondary schools across the US do not teach teenagers finance and the utilization of money. Thus, it is on parents to take the matter into their hands and have financial talks with their kids. A Gallup survey reveals that 60% of American college graduates have no idea about money when they leave college. What is more gruesome is the fact that as they graduate they are drowned in student debts.
That is why it is a worthwhile idea to avoid your teens from this dilemma. Where to get started, you may ask? Well, it all begins at home. From an early age, parents must have financial talks with their kids. So, as they grow up, they will have a basic understanding of finances. If you are not used to having financial talks with your teens yet, today is the best time to kick off. More than ever before, today teens are in need of financial literacy.
Nevertheless, an ideal scenario could be to have the fundamental money talks with your kids. These could be things like: How to earn, save, utilize, and invest money? Likewise, you should make your kids familiar with taxes, debts, student loans, and credit card loans. Other grave issues may include financial crisis, saving for retirement, and handling household expenses.
Here is one of the best pieces of financial advice – and talk – every parent should have with his kids:
Understand the Difference Between Needs and Wants
It is not unheard of that teens to spend money on luxury stuff – on things they do not need. Be it toys, games, or mobile phones, kids just want to get it done. However, it is up to parents to handle that since kids do not know how hard-earned that money is. Similarly, they do not really discriminate between their wants and needs.
This is where parents come into play. As a parent, you should have a friendly talk with your kids and make them understand their needs and wants. However, keep in mind the discussion should be respectful and logical, and ensure that you do yell at them. With such a sensible discussion, not only will you develop a friendly connection with your kids. Rather, you will imbed in them a sense of responsibility they will live with for the rest of their lives.
More in Investments
Harry Styles Tops To This Year’s 30 Under 30 Rich List
Harry Edward Styles is a singer, songwriter, and actor from England. His musical career began in 2010 as a solo contestant...November 9, 2022
How To Measure The Profitability Of Your Business With Absolute Accuracy?
Being an entrepreneur, you should be pristinely clear that profitability and loss are inevitable parts of the game. At any stage...November 7, 2022
Making Money Off Your Equestrian Business: The Best Money Tips
What makes a hobby or a passion a business? Like your equestrian business, it’s the profit that you receive from it....November 7, 2022
5 Tays To Spot Potential Companies For Good Investment
When you decide to place your money in an investment, it is essential to do some research beforehand, especially if you...October 29, 2022
The Ultimate Warren Buffett Advice That Can Make You Rich At Any Age
It is no secret that savings are very essential. It does not matter what your age or background you come from,...October 25, 2022
Bling Empire Cast Members’ Net Worth!
In 2018, the hit movie “Crazy Rich Asians” was released, introducing us all to the unparalleled life of an ultra-rich Asian,...October 19, 2022
Who Are The Top 4 Richest Kids In The World In 2022?
What is the one thing that comes to your mind when you think of rich folks? Well, if you think of...October 17, 2022
The Risks And Benefits Of Investing In Stocks
A stock market broadly refers to a type of investment representing an ownership share in a company. Stocks are also known...October 16, 2022
Why A 60/40 Investment Strategy Is A Bad Idea In 2022?
When it comes to investment, there are hundreds of strategies that you can opt for. You can either diversify your portfolios...October 16, 2022