Money Minded Families

Introduction

In addition to being chefs, therapists, nurses, chauffeurs, and more, parents are inevitably teachers, despite most of us not having a degree in education (or for that matter, in any of these professions). For so many facets of parenthood, there is no guidebook or instruction manual. As parents, we tend to focus most of our energies on the emotional and physical wellbeing of our children. I propose we must also focus on their financial wellbeing.

Children are extraordinary learners from a very young age. They master concepts, language, walking, negotiating, and more in just their first few years. Yet we typically don't engage our children in learning about financial matters until much later in life, if ever. This is a mistake. In fact, perhaps because of this mistake, many parents never truly become knowledgeable about basic finances, let alone master their own.

According to the Consumer Financial Protection Bureau, “financial wellbeing” is defined as “a state of being wherein you have control over day-to-day, month-to-month finances; have the capacity to absorb a financial shock; are on track to meet your financial goals; and have the financial freedom to make the choices that allow you to enjoy life.” My definition of financial wellbeing is much simpler. Financial wellbeing is a state of clarity, purpose, and direction; it is not separate from your personal wellbeing, in fact, financial wellbeing is inextricably intertwined with your overall health. We must begin ...