Thanks all for the thoughts. She will indeed be doing chores; lots of them. Tying that to an allowance will naturally follow. I think having a bank account at an early age is a good idea too as I had one at the age of 12. About what age would you figure introducing her to the more complex investment vehicles? I'm thinking mid-high school age zone. How about precious metals? My father interested me in them early, but there is no need to go gonzo. Thanks much.
Don't buy them many gifts and show them that they need to find ways to earn all of their non essential comsumer goods. My parents were poor so I always tried to find ways to make money on the internet since I was 12 and I quickly learned how hard it was to make money and that I should not squander it.
Since I don't have kids, I tend to tread lightly when giving any suggestions to those who do... But I think that if I ever have kids I'll start teaching them basic financial and business concepts at about the same times I start introducing them to basic math and reading. In fact I think my next project will be a series of children's book teaching these very things. I can remember "loansharking" to neighborhood kids when I was junior high aged. I even "hired" the biggest kid (who wasn't all that bright, fortunately) in the neighborhood to be my "muscle".
I look forward to having a child of my own some day and raising him or her to be a good person. They should be taught at a young age the importance of hard work and the value of money. These days it is hard to make ends meet as jobs are limited and everyone has some type of degree. Heck 80% of the jobs I've had were due to some sort of nepotism. As long as my kid does not inherit my organizational skills and my procrastination of important things like paying bills. My wife is good about those things though.
Writing children's books and not having children. Watch them become best sellers JR. And LMAO to the loan sharking in middle school. Anyone that you had beat up ? Crammed into their lockers ? I gave out to friends who needed money for lunch and they paid me back. No interest. I didn't even grasp the concept when I was in middle school of getting an incentive for helping out someone with money. Even now though I don't think I would charge interest to someone in my family who I know on a familiar basis.
Kids these days are learning to deal with money younger and younger, so why not teach them about the market as well, they might like it and become some trading gurus.
I was always a fan of my namesake and of mafia guys and whatnot. I was the type of kid who would save my money I'd get as gifts or from doing chores or whatever. I had a piggy bank that looked like a gasoline can that had probably $350-400 in it by the time 7th grade rolled around, and I noticed that among most other kids in the neighborhood, they'd get $5 or 10 or more or whatever from their parents from doing chores and blow it in a day or 2 on video games. I had already figured out that those arcade games were a waste of money, and I'd rather save most of my money and just spend a bit for snacks at the corner store. I saw opportunity in this. I actually would handwrite a "contract" that charged interest, and I would have them sign it before I handed them $5 or $10 or whatever. Then they'd have to give me back a buck or 2 or more later in the week when they got money again, depending upon the size of the "loan"... while my big, dumb buddy stood by. I'd usually just buy him a coke once a week or so and he was happy to stand by for me. I never had anybody roughed up. But I did have to go to one kid's house and tell his mom that the reason I was "bullying him for money" was because I'd loaned him money and had him sign a contract hand-written by me for the principal plus interest, which I showed her. The look on her face was priceless as she screamed at her son to come out of the house and face the music. She was truly disgusted when she pulled a $5 out of her purse and told me to leave her son alone and stop lending him money, then told me she'd "have a talk with my mom". I could hear the kid screaming inside as me and my henchman walked away as the kid's mom began whipping his ass for blowing $ on video games and borrowing from the neighborhood "loanshark".
I believe the best way to make them learn about money tell them to make small purchase in the store when you go out for shopping next time. And they receive some sort of change, you can ask them to save so that it can be used once again next time.
