Kids can typically sense financial stress in the home. By having honest conversations with them, and giving age-appropriate information, you can reduce their level of worry.
Photo by Randen Pederson
The biggest culprit, and one that I am guilty of, is telling a child “No, we can’t afford it” when they’re begging for a cheap toy at the store. Those are toxic words that can cause unnecessary worry.
Instead, tell the child “No” along with an explanation they can process. Something like “No, we’re saving up for our big summer road trip, remember?”
By tying the “No” to something they can relate to, they will process the information easier and not worry about what else mum and dad can’t afford.
Check out the article below for other great tips on how to talk with kids about money.
The Dangers of Lying to Children About Money [Magnify Money]