Money Matters

The government's fiscal irresponsibility is a very frustrating thing to me. What message is this sending to our children? "Oh....we can spend whatever we want with no accountability." No! In "Real Life", you'll be in a fast financial nightmare which will negatively affect the rest of your life. My son is almost twelve, yet he understands the problem. He recently wrote a letter to our congressman as one of the requirements for the Citizenship in the Community merit badge...

Dear Congressman Matheson,

I have recently found out that the government is in a lot of debt to China. If we don’t get this resolved then we will be in big trouble if China calls in their loan. I am asking you to help the government to stop buying too many things so we can try to pay off our loan as fast as possible. I just want to know if we don’t pay our loan, what is going to happen to us as a country?

I am learning how to manage my own money. If I can’t spend more than I have, why can the government? Our leaders should be an example to the children of our country. The leaders we have aren’t doing a very good job at this.

The second thing I want to talk to you about is to get the government to reduce taxes. Many people are living on the street because they can’t pay their taxes. My family has a hard time paying our bills because we have too high of taxes. I am also asking you to help the government think about this problem and get it resolved. 

It is our responsibility as parents to teach our children about fiscal responsibility. One of the first steps is to make sure they have money to work with as they learn. But, do we just hand it over to them with "no strings attached"? I don't think so. I believe in an allowance based on hard work and responsibility. Yes, they can earn money by doing extra jobs around the house. Help them see that money comes from hard work - not from Mom's and Dad's wallet. Items are not purchased by swiping a plastic card through a machine and pressing a few buttons. 

A few weeks ago, my nine year old son asked if he could earn some extra money by doing "money jobs". Money jobs are additional tasks the children can do outside of the chores that are expected as part of a family. Sure - clean out the garage...

I love the roller blade look! Why not have fun while you're working??

I was so impressed with the job he did! Do a fabulous and thorough job and get a little tip for the extra efforts! When he got paid the next day, he got out his Stick-to-it Money Management System:

 

Earning is the first step. Don't forget the importance of giving, saving and then spending. Just like most things, start them young and see their consistency and enthusiasm shine as they grow in years and experience. Move over, Ben Bernanke. I have some children who understand fiscal responsibility.
 

More to Come...but until then, Stick-to-it!