One Dad's Journey

Kids are naturally intuitive and inquisitive about what is going on around them, and that includes your state of mind and stress level when it comes to your family finances.  Every where you turn, whether on the radio, television, or at your kids’ soccer games, people are talking about the economic situation we are in.  Many parents are asking about what and how much they should communicate with their children.  As parents, you know your kids best, but here are a few guidelines and tips for talking to your kids about the economy:

1. Take a long term perspective and utilize how your family is affected by the economy as a learning opportunity to teach your children how to handle life.  Remind yourself that your children are watching how you handle the stress and crises of life.  If you handle them with character, grace, and maturity, they will emulate this in their own life. 
   
   
2. Use this opportunity to teach your kids about a budget.   Sit them down and explain income and expenses.  Take a look at a typical month for your family and talk about the different expenses you have as a family (i.e., food, mortgage or rent payment, entertainment, electric, gas).  Depending on the age of your children, you can be very general or very specific.  Explain that mom and/or dad get paid a certain amount of money for working, and as family it is important not to spend more than you earn.
   
   
3. Talk about the difference between necessities and luxuries.  Draw two columns on a piece of paper and use one column to list the necessities of life (i.e., food, shelter, gas for the car) and the other column to list luxuries (i.e., vacations, eating out, membership to the pool).  Ask your kids for examples and discuss each one.
   
   
4. Talk about choices and consequences.  Remember you are taking a long term perspective and are teaching your kids about life, so even if you have made some bad choices, talk about the consequences you are experiencing.  Talk about them in a manner that is appropriate to your children’s age and maturity.  Be careful not to frighten them with issues or concerns that are clearly not child-appropriate. 
   
   
5. Include your kids in discussions of cutting back on expenses.  As a family, brainstorm ways that each member of the family can cut back.  Examples may include going camping on vacation instead of going on a long trip, mom or dad packing their lunch instead of going out to eat, going to the library to check out DVD’s instead of renting them at the video store, buying clothes at a thrift shop, buying generic items instead of brand names, and staying home playing games instead of going out to the movies.
   
   
6. Communicate to your children that you are going to take care of them and reassure them that everything is going to be okay, even if changes have to be made in your family’s life.  If you need emotional support during this time, find other adults that can provide that support and be careful not to burden your children with adult worries.
   
   
7. Use this as a time to help others by donating clothes to a local Goodwill, volunteering at church, school, or community outreach programs to help needy families, or serving others in some capacity. 

Pulling together as a family and as a community can bring many rewards and blessings that we do not expect.  I encourage you to step back and reflect on what’s important in life such as being together, helping others, and living with honor and integrity through difficult times.   Families can get through these difficult economic times and can come out stronger in the end.