Mr Wells has come up with 4 guidelines to use when we teach children about money:
He quotes research indicating that we are presently teaching our children about money incorrectly because classroom education in finance often doesn’t translate into real-world results. For example, many young people struggling with debt, foreclosure and low asset accumulation.
He suggests that we
-1- Focus on Teaching Math—Not Money, meaning that people need to be comfortable with numbers and making numeric comparisons.
-2-Tell the Whole Story, Warts and All meaning that you share your good and bad financial decisions with your children
-3-Don’t Make Money Scary. Try to make the lessons rational, small and to the point
-4-Teach Them ‘Just in Time’. That is find a teachable moment, perhaps just before they receive a predictable holiday present, to discuss different ways to use the money.
Whether or not you agree with Mr Wells’ ideas, it is a good read and will help you clarify your thinking.
Read more…www.wsj.com/articles/the-smart-way-to-teach-children-about-money-1422849602″