Talking To Teens About Household Finances
Here are three beneficial things that can come from discussing family finances with your teen.
Studies show our first money memories often shape the way we relate to personal finances later in our adult lives. By having an open conversation around your household expenses, you can create a sense of financial transparency, helping your teen develop a foundation in the monetary responsibilities of your household and personal finance by extension.
Understanding When Things Change
Keeping the entire family in the loop when financial adjustments are needed can relieve some of the pressure to maintain a sense of normalcy amidst these changes. You decide the degree to which you’re comfortable sharing; however, the window that you give your teen into your situation will give them a better understanding of financial obligations and how those expenses are affected when life “happens”.
Getting The Family Involved
No one enjoys the conversation when sacrifices have to be made, but being open and transparent about your finances can offer the whole family a way to pitch in. Review monthly costs, like streaming services or recurring expenses, and have a discussion around what’s important and what you might be able to cut back on. Individually, these monthly expenditures may not seem like much, but when you add them all up, they should see the bigger picture and have more clarity on how they impact your total budget.
Opening up to your teen about the family’s monthly expenses doesn’t have to be scary. You might be surprised how talking to them can lead to deeper discussions around the importance of budgeting and other aspects of personal finance.