Many parents approach the topic of money differently, but could your way of doing things influence your kids’ success?
The majority of Aussie mums and dads recognise that they’re accountable when it comes to shaping their children’s perspective around money matters.
A recent report published by the Financial Planning Association of Australia (FPA), revealed parents listed themselves (95%), followed by grandparents (63%) and teachers or coaches (59%) as the top three biggest influencers when it came to instilling money values in their kids.i
As part of the research, parents said they mainly concentrated on day-to-day issues when talking money with their children, admitting that more contemporary issues, such as making transactions digitally, were sometimes overlooked.i
What parents said they discussed:i
The research undertaken indicated that there were four prominent personalities parents assumed when discussing money with their children, with some parents initiating conversations more frequently, while others were sometimes a little more hesitant.i
The four distinct personalities that came out of the research included:i
Engaging parents were more likely to report that their children were more curious, confident, and financially literate than they were at their age.i
According to parents who fell into this category, their children were the most equipped to understand and transact in today’s digital world and their teenagers were the most likely to have a job and make online purchases for themselves or their family.i
In addition, the research found children with a paid job outside of the family home were more financially prepared to engage with money.i
They were also used to transacting digitally and showed greater interest in learning about paying taxes and superannuation than those who didn’t have a job.i
If you need help to manage your money more confidently so you can pass on good habits to your kids, give 1st Street a call.
© AMP Life Limited.
First published February 2019