One of our desires for our children is for them to become financially wise. We hope by being honest about our finances and teaching them about how we manage our money that they will have a desire to stay out of debt and use their money wisely.
At 4 and 5, our boys know that we follow a budget and that our budget helps direct our spending.
We started talking about money and giving them small amounts of money at very young ages. We also try to point out how we save money by buying things used over buying them new.
Both boys were given some money for Christmas this year. We put some of it in savings but they both ended up with about $12 in their wallets. Money in their wallets is their spending money that they can spend, pretty much however they choose.
Our 5 year old, Paxton, is a spender and our 4 year old, Weston, is a saver. When Paxton has money, he starts thinking of ways he can use it. Weston prefers socking his money away in his piggy bank and lately has been telling us that he’s saving his money so he can buy a tractor when he grows up. (The saver in me LOVES this!)
On New Years Eve, while we were out eating Chinese food, our 5 year old discovered the wall of vending machines full of candy, toys and stickers. He saw that one of these machines contained NFL stickers (he loves football) and he had to have one. We explained that we thought spending $.50 for one sticker when you didn’t even know which team you were going to get seemed like a waste of money to us. Then we told him that it was his money and he could buy a sticker if he wanted to.
He chose to buy the sticker and was satisfied with the team he got.
Then, he tried to talk his brother into buying a sticker too! Weston stood firm in his resolve not to spend anything.
With money still left in his wallet, Paxton was itching to spend more so he started asking to go shopping. He finally asked, ‘can we go thrifting for jerseys?’ (I love that he appreciates thrifting!)
One afternoon this week, we went to Salvation Army and started looking for jerseys in the kids section. We found a red Georgia Nike jersey in size 6 that fit him and he liked it pretty well. We browsed around the store and came back to the kids section to double check and then Paxton spotted a black Georgia Nike jersey in size 7. He got really excited about this black jersey and we were starting to hang the red one back up when Weston asked if he could buy the red one.
We stood in line and they both purchased their jerseys, pulling their $3.20 out of their wallets, excitedly handing the money over and then proudly walking out with their jerseys that they purchased with their own money.
I was tickled that we had such good thrifting luck and they both found something they wanted.
Once we got home, I showed them that similar jerseys were selling for $40+ each online and that they could not have purchased those jerseys brand new with the amount of spending money they have.
We hope that talking with them through their spending and making wise purchases as children helps them become financially independent adults.
Paxton was beyond thrilled that his jersey has a Capital One Bowl game patch sewn on it!
And, it should be noted that John David and I are Tennessee fans. Paxton likes Tennessee and Georgia college football, he says ‘I was born in Tennessee and live in Georgia so I can like both.’ And, we’re not sure where Weston’s allegiance lies just yet. (Now, we’ve got to thrift a couple UT jerseys to even things up!)