How to Have a Healthy Money Talk Within Family?
We always hear the line “Parents are our first teacher” and this is evident as a lot of Filipino parents teach almost everything that a child must learn but not so much in terms of finances or handling money. We will just hear the line “Save money” but we will not to hear how to do it. This is mainly because they were not taught by their own parents, and their parents were also not taught by their own parents too.
Money is a sensitive topic in the Philippines, as it is in other countries. Sometimes money is the cause of stress in relationships. The reason for this problem is that everyone brings financial baggage to a relationship in the form of debt, savings, investments or lack thereof, expectations, and how money was handled in their homes and how they have been influenced by what they learned from others.
Talking with your family about finances can be an empowering first step to help you build a healthy relationship and understand how needs, wants, spending, and budgeting are connected. You may also engage your child to understand the basic financial concepts.
- Set an agenda
Schedule a meeting with your family at a regular time each month to review the family finances. In this case you get to be more open to the members of the family status of your finances and its allocation.
- Share real-life lessons to teach your children
Children appreciate honesty and facts. You may share tough financial situations and how to handle them. Give your children an allowance or financial reward after doing a great job at school or by simply doing a household chore. It will enable him to make independent decisions about money and explain the benefit of saving money to achieve a specific goal.
- Focus on goals, not blame
Discuss financial plans and goals. Create responsibilities and boundaries on which everyone can agree and work on together.
- Allow them to grow on their own
You can give them small amount of money that they can use to start a business that they can manage on their own. After a month you can check how do they handle it and ask them what are their learnings.
Talking about money is an opportunity to start thinking further ahead. By setting out aspirations, you will be able to create a plan and take steps towards them. Always reflect, since there are also lessons from Robocash and we hope that you celebrate your financial victories soon.Apply now