Are you committed to instilling a solid sense of financial responsibility in your kids this year? If your answer is "yes", then you're in good company. A recent Amex survey found that a whopping 91% of parents plan to do just that in 2010.
What's an easy way to get started when you only have a couple of minutes to spare? How about some very brief video clips to help you get the ball rolling quickly?
Janet Bodnar, a nationally recognized expert in the field of children's finances, appears in a series of 9 short-and-sweet videos that offer excellent tips for parents teaching their kids the ins-and-outs of personal finance. A little more about Janet's credentials: she's Kiplinger's Personal Finance editor, writes a monthy column called Money Smart Kids, and is the author of the book Raising Money Smart Kids (affiliate link).
This first clip presents 5 golden rules to keep in mind when teaching kids about money. It's a mere 2 minutes and 15 seconds long (after a very brief commercial intro), so give it a quick look.
To recap, Janet Bodnar's 5 golden rules for parents when teaching kids about money are:
- Use day-to-day situations: skip the abstract lectures and let your kids learn by doing.
- Keep things simple: make sure whatever system you use is manageable for you and age appropriate for them.
- You have power: they'll listen to you despite what seem to be overwhelming media and peer influences. Don't back down!
- Don't buy them everything they ask for: your kids need to hear "no" when appropriate - just be sure to couple your response with a sensible reason.
- Be consistent: make sure you follow through on your agreements with your kids around money. Not doing so would model the wrong behavior.
If you're ready to take the next step and start implementing a simple, consistent, learn-by-doing financial education system with your kids, please consider FamZoo. We've done our best to build a service that is flexible enough to fit with your family's financial values and your child's age from youngster to teen. You can pick and choose the approaches that work best with your family. If you think we've missed something or just want to share your thoughts on the topic, please leave a comment below (or on Twitter or Facebook) or contact us on the FamZoo web site.
If you'd like to gather some more tips, here's a list of additional quick videos from Janet that will help you get started:
- Should Your Child Save Money in a Piggy Bank?
- How to Teach Children About Savings
- How Much Allowance Should You Give Your Child?
- Should You Pay Your Child to Do Chores?
- Six Money Skills to Master by Age 18
- Considering Debit Cards for Teens
- When to Give Your Child a Credit Card
- The College-Bound Checklist
Good luck on your 2010 commitment to your child's financial education. They'll thank you for it - um, well at least someday they will...