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Even before their children understand how money works, they can begin to capture their attitude and feelings on finance, and that can have a lasting impact. But avoiding Talking about money with your children In total, it could be even more harmful to its future financial success.
“In the background, most people believe that money is a bad thing, that children need to be protected from (that).” Ramit SethiMillionaire made to himself and author of the new book “,”,Money for couples“says CNBC.
“It does not protect children from riding a bike. It does not protect children from trying a tomato. So why would you protect them from something that is much more important than any of those examples?” He says.
When you talk about money with your children, there is a “horrible phrase” Sethi says that “households would prohibit:” we can’t pay it. ” Here is why.
‘Say is not a good thing’
Many of the people with whom Sethi has talked about his “Money For Coprates” Podcast podcast has heard “we cannot pay it” of their own parents when they were growing.
“And they really believed it,” says Sethi. “So, even when they have a good job and earn a lot of money 30 years later, they still feel the shortage of money.”
A positive relationship with money has nothing to do with how much money you really haveSethi says. Teaching your children this phrase can make them fear involuntarily spending money on the future, even when they are technically able to pay what they want.
Instead of saying that something cannot afford, Sethi suggests echoing the norms and culture that he establishes within his family to explain his decision. You could say: “In our family, we chose to spend money on healthy foods instead of corn popcorn with butter,” he says.
Alternatively, “not everything has to have a massive explanation,” he says. You may not satisfy a child asking for a toy in the store, but planting the seeds so that their children understand that they cannot and should not spend their money on every little thing you want to buy impulsively will benefit them in the long term. .
“Saying is not a good thing,” he says. “I love saying no, sometimes it is not all you need to say.”
Help your children commit to money
In addition to talking about money, Sethi encourages families to involve their children with financial tasks so that they can build a positive basis for their relationships with money when they age.
Let them see you paying the invoices or even click on the “Pay” button, suggests. And try not to cry aloud over how tall it is the electric or expensive invoice that is its rent. Instead, make your children know that this money is providing the roof on their heads and electricity to play their video games.
“As teenagers, they can help plan a complete family trip or help buy a family car,” says Sethi. “This is how they begin to learn about taxes and compensation. This is how you equip them to succeed in the real world.”
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