Susan Beacham has some excellent ideas for raising money-smart kids in this article. I especially like the idea of teaching them to say “I need help.”
Let me know what you think.
4 Key Money Phrases to Teach Your Kids
When you think about money phrases your children need know, what comes to mind? Adjustable rate mortgage? Compound interest? Minimum payment? Certainly, all of those are things your kids will need to understand at some point. But first they need to learn some others:
1. I don’t know.
2. I need help.
3. I made a mistake.
4. I’m sorry.
And they need to do more than just learn those phrases. They need to become so comfortable using them that they become instinctive responses when they are faced with financial decisions, such as whether to choose an adjustable rate mortgage. I’ll take them one at a time and show you what I mean:
1. I don’t know.
That’s a tough one to say out loud.
People often think it as they are about to sign important financial documents. But far too few stop themselves from signing on the bottom line and actually say those words out loud. But, they are the key to keeping ourselves from making financial commitments we may not be ready to enter into.
Here’s what “I don’t know” sounds like when used in your financial life:
“I don’t know what that language means – could you explain it to me?”
“I don’t know if I can afford this. Could you explain other more affordable options to me?”
“I don’t know how the math works for this loan. Could you explain this to me again?”
“I don’t know if I need more credit cards right now. Could you please explain how your credit card is better than the one I already have?”
Most people are ashamed that they do not understand or “know” and dread another person thinking less of them if they ask for further explanation.
read the complete article here: 4 Key Money Phrases to Teach Your Kids.