When your kids start to ask about your family’s financial situation, take the time to find out why they want to know. You’ll be able to give them an answer that teaches them about personal finance, and really gets at the reasons behind their questions.
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By responding to their questions with “Why do you ask?” or “Why do you want to know?”, you’ll get more context on what specifically it is they’d like to know, and what inspired the question. That information can help you answer them in a more useful way, and teach them a thing or two about finance since they asked. Answering your kids’ questions about money can be tough, but transparency will help them learn how to be financially responsible.