What is the best way to teach our kids about the value of a dollar?
Unbreak My Heart singer Toni Braxton isn’t teaching her sons to break the bank!
The 6-time Grammy Award-winner recently talked about charging her two sons – Denim, 11, and Diezel, 9 – to chip in for room, board and entertainment.
“I charge them rent. I give them allowance – Denim gets $15, Diezel gets $10 a week. They have to take out the trash, do all these things, but I make them pay me rent,” the single mom says.
“Diezel pays $1, Denim pays $1.50. I swear to god, Diezel pays a 50 cents for utilities, Denim pays 25 cents for utilities, for cable… I charge them,” she adds. “So they give me like, $3 a week out of their allowance, I told them one day you’ll have to pay rent so I’m helping you they get upset, (saying), ‘$3 a week mom? $3?!’”
Is this a hard core or genius parenting move?
Experts say that getting kids to understand and appreciate the value of a dollar, parents need to make sure their children are working and earn rewards.
Arthur Bochner is living proof that parents can raise money-smart kids. He wrote his first book on money at the tender age of 11, with help from his mom, financial planner Adriane G. Berg. Now 25, Arthur is a political speechwriter living in Washington, D.C., and has co-authored another book, The New Totally Awesome Money Book for Kids.
According to the author, parents must start when their kids are young. “The younger you start, the more comfortable you’ll be as an adult,” Arthur says. And while leading by example is key, he goes on to talk about teaching your kids to earn and enjoy their money.
Arthur goes on to talk about the importance of budgeting and getting your kids to work – whether through babysitting, selling items online or a putting up a good old-fashioned lemonade stand – which encourages your kids to find creative ways to earn money.
Further money experts say that getting your child a piggy bank and their very own bank account at an early age is a good idea. And giving an allowance – instead of everything they ask for – sets the stage for healthy money management in the future.
I like all of these great tips. Furthermore, I think it’s important to watch our ‘money language’ around our kids.
So when we say things like, “I’m too broke,” we’re actually implanting ideas about money into our kids’ heads. I try to keep it positive when talking about money, and my relationship with it, in my everyday life. As well, I always take the opportunity to talk about poverty issues and how we can help to empower the less fortunate.
What are some of the ways you teach your kids about the value of a dollar?