4 Key Money Phrases to Teach Your Kids

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.

Steve

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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.

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Focus on Progress, not Perfection

Progress comes in small steps – not all at once.  Jude Budreaux has some great ideas for focusing on progress – not perfection.

Steve

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When I work with families, they tend to share a few characteristics

– They’re incredibly bright, which makes them good at seeing lots of possibilities in situations which leads to success but also leads to massive amounts of worry and indecision on some complicated issues

– They’ve been achievers for most of their lives, having success throughout school and a history of receiving accolades

– They’re achieving the financial success that they always expected, but are now quite hesitant to make decisions and take steps forward.

I think these 3 characteristics are all related, and work together to create a storm of fear and indecision for the big choices they face. If you’ve always gotten praise and pats on the back, making choices that might not be right can fill you with fear. Add onto that the cost and burden of not making good choices in this area, such as not being able to provide educations and retire with the comfortable lifestyle that you’ve envisioned, and it becomes incredibly difficult to make any moves at all.

Yet, for many of us that find the above characteristics familiar, amazing is what has gotten us this far. We’re collectively talented, focused, successful, and used to doing things that to many are amazing. So, how can you get started on your financial future if amazing is the bar that you have to meet to feel good?

read the complete article here: Focus on Progress, not Perfection | Fee-Only Certified Financial Planner based in New Orleans – Upperline Financial Planning.