Teaching Kids about money, budgeting, paying bills....

Teaching kids about healthy financial habits can be daunting when you are still struggling with healthy habits yourself. It doesn't have to be daunting though, discussing some of those hard issues in terms that they can understand can be healthy. It's sort of like saying "look see mom/dad made some mistakes, we all do, and we are working on fixing them" and then explaining how people fix their financial mistakes.

All of that being said I have an older daughter she is *almost* a teenager *yikes*, at 12 she gets a lot more than she did at say 3. She sees and hears me talking about budget and bills often. A few weeks ago she asked me about how a budget works and "how do you pay your bills?" I was surprised by this. She has always been a fairly observant child. Her father and I are not together, he is no better with money than I used to be he just had lots more of it than I did to spend. Our daughter has never really seen a good example of saving, spending, and paying bills... until now.

Mint.com has a really great blog/article about teaching kids budgets, I encourage you all to read it. In fact Mint.com is a really great (and free even!) website to check out and familiarize yourselves with. I think for my child though going more in depth is what she is asking for.

With my daughter's needs/wants to learn personal finance and budgeting this week we are starting something new. I will give her an allowance for time she has worked over and above family chores that everyone does, she will work with me to create a budget on saving to spend on a goal, savings for college, and spending money. I will take her to the bank and help her learn to fill out deposit slips (and when the time comes withdraw slips) and how to balance her savings accounts and keep track of what money is for what things. I am also going to show her my pay, where things go to, where they come out and how much is left at the end of the month/day/week... Not all kids can handle that I don't think nor should they, my child seems to have a need/want for that to understand. This need/want stems a bit from how she learns anything new and her abilities to really take the information in.

Most of all, I want my child to have a better understanding of personal finance than I did so when she makes mistakes she knows how to correct them. I was never taught anything about budgeting, making money, paying bills, writing checks, or balancing a check book. Nothing at all, I was thrown into it and failed miserably, I'm working at teaching myself now but I'd like for my daughter to know better. Whether she makes the right choices by having the right knowledge is totally up to her. I can instill the right things and educate her with the knowledge and then it is in her hands on how she applies all of those things.

Photo By: Matt McGee

Spending for 6/16/09

FINALLY, I had a no spend day woohoo!!!!

I got a 'free' lunch... it wasn't necessarily free as much as it was my boss and I sometimes take turns buying lunch and I treated last time so she treated this time. We are both on a budget crunch though so we decided to re-evaluate this and see about maybe taking turns bringing in lunch instead :) yay!!!

Spending for 6/15/09

Almost... Almost had a no spending day.

Spent $1.99 on celebratory ice cream. This was totally my fault too, my kiddo wanted ice cream after her game... I told her no that I didn't want to spend the money that I hadn't planned on. So she had her own money and asked if she bought herself it could we, I said okay. I should have resisted and let her have her ice cream but I didn't. Shame, shame...

Oh and can we just talk about $1.99 for a small ice cream cone (it had a dip flavor, cherry coating thing but still) what the heck? This is going to make me sound old but I remember when.... (oh never mind lol).

Hopefully, now that I had to post my shame in totally impulse spending I will resist next time. Plus that would be a great example for my daughter if I resisted.... this time that sweet, cool, sugary goodness it just called and called and I caved. Blah!

Spending for 6/14/09

I spent a total of $25 at the gas station on gas. That's it!

My car seems to be going through a lot of gas lately, so I'm going to fill up completely as soon as my missing paycheck arrives and watch the mileage and see if it is because I'm driving more than usual or if something needs to be checked out. I had a tune up a year ago so I don't think its that but one never knows.

Spending for 6/13/09

$1.35 on a pop, the water jug was out at work and we don't have another shipment until Monday. That kind of stunk but we don't have a sink in our office either. I had all sorts of those powders you add to water to deter myself from buying pop from the vending machine but those only work if I actually have water lol

Almost a no spend day hrmph... tomorrow won't be a no spend day either I have to get gas and a couple of things. Hopefully, I have one soon.

Spending for 6/12/09

Spending was $1.50 for a beverage at the hospital since my mom was rushed there via ambulance and then $13.00 for gas.

I almost had a no spend day until I got the call to meet her and the ambulance at the hospital.

All is well though she just over exerted herself cleaning out and moving her classroom it was our hottest day this year so far I think and her school has no air she wasn't breathing well. She is now home and recovering.

Spending for 6/11/09

I spent $65.65 at the grocery store. I bought mostly convenience food so my kiddo can make her lunches while I'm at work. I still have to get a few things but I had two lists and left the one at home.

I also spent $16.28 on various things one of them being terrible coffee from McDonald's blech... I though I'd save a bit and buy it there instead of someplace like Panera Bread since I was also out of coffee and creamer at home. Such a waste because I threw it out. I rarely buy coffee out but when I do I won't be buying the new McCafe anymore.

I need to find a way to save on the convenience foods. My kiddo is only allowed to use the microwave when I'm not home, she is highly unlikely to heat up left overs. Perhaps making homemade pizzas together then cooking them and cutting them up into individual portions she will be more likely to do that. She loves French Bread pizza they are expensive... I'm going to work on a way to figure out how to make this much cheaper. I'm not good at making breads anything that includes yeast comes out as a big FAIL for me. She may occasionally make herself a sandwich but she is tired of them after the school year. Hot dogs are something she can do in the microwave, chicken tenders, those taquitos she loves those.... then I am at a loss. She isn't a soup eater, which would be easy, she eats it when I make it and tell her she has to but if I'm not there she isn't likely to eat at all unless I give her options that she really likes a lot. Tween parenting isn't always fun ha!

Spending for 6/10/09

Of course this week has been bad so today was no different...

Spent $12.63 on lunch, now before you flog me... I work in an airport and I don't have much choice in how much things cost there. I had nothing to bring not even a can of soup. Shopping is a definite must tomorrow (as today started my weekend for this week).

Spent $7.35 on ice cream at DQ to celebrate my daughters first win in softball, she stole home plate after stealing 3rd at the same time. This was planned out for her first win though so I'm not sure I should count it but I will.

Total spent: $19.98

spending for 6/9/09

Spent $20 on gas at the gas station and about $3.50 (forgot to write it down and didn't get the receipt) on a pop and breakfast.

I swear this isn't how I normally spend every day but I didn't go grocery shopping last week due to being so busy I could barely have time to shower and sleep let alone go to the grocery store. This was all unexpected busy stuff so I couldn't plan ahead.

Next week will be a more accurate description of what I am spending but I wanted to start this now to be accountable. For instance it is already working some, I almost ordered pizza last night but knew I had to report here so I ate a sandwich and ramen noodles instead :)

Spending for 6/8/09

So it was 9:30 before I could sit down to even think about dinner last night. Last night was an unplanned Wendy's night so I spent $12.96 yesterday at Wendy's because I was also so tired I didn't care that we ordered the more expensive items.

I will be grocery shopping this week and need to find quick things for nights like this. I leave the house at 4:30 am and last night I wasn't home again until 9:30 pm.