According to an American psychologist, this parental habit helps children develop a healthy relationship with money as they grow up. Better yet, “they end up in a much better financial situation.”
We are not taught how to manage our finances at school. For their part, parents naturally pass on the value of money to their child, notably by going shopping, buying them a gift or giving them pocket money when they become a teenager. But according to Brad Klontz , an American financial psychologist and associate professor of economics at Creighton University, it’s essential to teach children the basics of financial management, so that they can develop a healthy relationship as they grow up.
According to the expert, when parents discuss their financial situation with their children, “They end up in a much better financial situation later, rather than having to learn it the hard way“However, most adults, seeking to protect their children, often avoid the subject. “You should definitely not give your children the impression that it is a stressful and taboo subject that we do not talk about,” he advises.
In reality, you just need to explain things to them quite simply. If a games console is too expensive for your budget, if you have to put money aside to pay for a family vacation or for his studies, talk to him to explain the reason for your refusal. “Sit down and tell them, “We want a new TV, or we have another financial goal, so… we’re going to set aside a certain amount each paycheck“, advises the specialist. Instead, show them how you usually save to achieve your goals.
He nevertheless recommends adapting your conversations to the age of the children and above all, not stressing or frightening them unnecessarily so that they do not develop an unhealthy relationship with money. “You risk passing on some of that fear and anxiety to them, which could have very harmful consequences later.“. There’s no point lying to them if you’re in the red: “children have an excellent sixth sense for detecting lies“, he reminds. Explain to them that the situation is temporary and that everything should return to normal soon.
