6 Tips for Raising
Cash Savvy Kids
Founder & Chief Dad
APRIL 28, 2010
6 5 reasons why I care about kids
OK, the spotted
Will they be ready for the real world?
What does “cash savvy” mean?
To be wise with your money.
• Peace of Mind
It’s not about being “rich”.
My top 6 cash savvy tips
1. Practice, practice, practice!
2. Have a system
3. Do the math
4. Create balance
5. Insist on accountability
6. Promote passions
Seen this look before? PRACTICE
I THOUGHT I
When I was TOLD YOU
your age, I… TO…
Brain not processing Blah, blah,
Kids learn by doing, not lecture.
Let your kids practice… PRACTICE
• Spending their own money
• Making a budget
• Saving for a “want”
• Paying off a loan
• Running a “business”
• Investing for the future
• Giving to others
…and let them fail too.
How would you feel about an employer 2
who “forgot” your paycheck?
Or a banker who “lost” your money?
Not mine. They
have a system!
Kids don’t like unreliable behavior either!
Set up a system to model the SYSTEM
importance of being…
Read “The First National Bank of Dad” by David Owen
Do you make decisions based on 3
facts or emotions?
Be calm and do the math.
Teach your kids the simple math MATH
• compound interest
• credit cards
• business models
Don’t forget to look at the whole equation!
Do you feel pulled in multiple 4
Balance is a skill that requires practice.
Help your kids find their balance BALANCE
• Needs / Wants
• Now / Later
• Me / Family / Community / Environment
The earlier, the better (but it’s never too late!)
Are you shielding your kids from 5
life’s bumps and bruises?
The real world can be very unforgiving.
Bailouts aren’t always available.
Hold your kids accountable for their ACCOUNTABILITY
• overage charges
• chore lapses
• fines & tickets
• (nontrivial) mistakes
Texting overage charges
Broken cell phone Speeding Ticket
But cut them some slack too… they’re kids!
Have you found your passions? PASSION
Bring your passion to your work.
Bring your work to your passion.
Help your kids find, develop and apply 6
It’s not about your passions, it’s about theirs.
THANK YOU FOR LISTENING!
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