How to set your kids up for success

I know there’s a potential here for me to alienate myself, so let me break all the rules and tell you the end of the story first.

Your kids are counting on you to help them to be awesome.

Now back to the beginning…

We all know people who push their kids to be successful at school, or sport, or a hobby.  The parents push their kids to study harder, practice harder, be more disciplined, at whatever cost is necessary.  Let me say right at the outset that I think this is unhealthy when it is done to the extremes I have just used as examples.  This is not for you.

As a parent I know your desire will be for your children to succeed in the things they enjoy in a way that brings them pleasure and personal fulfilment.  So how can driving them with pressure to perform achieve this?

Alright, I think you get where I’m coming from… so on to the goodies I want to share with you in that context.

You set your kids up for success by:

1.  Manufacturing opportunities for them to succeed with financial goals.

I’ve purposely encouraged you to “manufacture” opportunities here.  By that I mean you can strategically and intentionally allow them to face a challenge and experience achievement in that challenge.  Here’s an example;

Say your nine year old child would like a bigger, newer, faster bike.  And you agree that it is something that would be good for them.

• You can help them to succeed by setting this as a “family goal” where you partner with them to see the goal achieved.
• You find the bike that works for the budget your family can commit to, possibly even searching online for a used option.
• You agree with them how much they need to save for this goal, which will be combined with how much you are going to save for the goal.
• You then help them to develop ideas to generate their portion of the savings, including fund-raising, enterprise, chores, selling their old bike.
• You encourage them to keep track with a savings chart.

If you do this with your child a few times you will be building a strong savings ethic into them that will see them succeed financially as an adult, for sure!

2.  Teach your child to learn the difference between Needs and Wants.

Why is it that kids always think they need what they want?  you know, I need a new iPod, I need a new bike, I need new sneakers, I need a new bed, I need this new album, I need to go to the movies with my friends… the list is endless!

It is up to you to help your child to learn the difference between Needs and Wants.  This may even be something you have struggled with in the past, maybe you still do.  You are the most effective role model for your kids in this area.  You can constructively help them to make personal choices based on what is important to them, (values), which helps to set the boundaries between needs and wants.

In my new book, Kids and Money, (**) I say that setting priorities in the answer.  I’ve been teaching people to set their personal financial Priorities for many years and am absolutely convinced that it is the first key to your financial success.  And the same goes for your kids.

Amanda, my co-author in writing the Kids and Money book, gives a really balanced perspective on this subject.  She says this:

“It’s our nature to strive to improve our lives. There’s absolutely nothing wrong with wanting more than we already have. The important thing to remember is that we first need to be truly grateful for what we already have before we allow ourselves the extended comforts that our wants will bring us.”

I am teaching more on this subject of needs and wants in a webinar next week.  You can check out the information and register for this event at https://wisemoney.co.nz/event/kids-and-money-2/

Why would you want to access this teaching?  In short, I will be giving you practical knowledge and tools you can use to help your kids be successful.  I will be delivering solid financial teaching you can pass on to your kids and others.  You may even want to help your nephews, nieces, grandchildren or neighbourhood kids.

Your kids truly are counting on you to help them to be awesome.  You can intentionally build healthy thinking and behaviour into them by following these two steps I’ve briefly outlined above.

Make a commitment to the success of others by up-skilling yourself in this area!

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**  If you have not yet checked out the Introduction of Kids and Money you can preview it at the website:  http://kidsandmoneybook.com

You can purchase the book here.