Don't Teach Your Kids to Budget

Budget.  That’s right . . . budget.    Things have changed. 

Have you used that word 6-letter word “budget” lately?  Go ahead and be honest with yourself.  You probably have.  But let me make a case on why you need to stop.   Times have changed.   Consider the following:

"Budgets" are Constricting

“Mom, I need $20.”   (funny how it used to be they only asked for $10!) 

“Honey, I just gave you $20 like…yesterday.  Can’t you budget your money?”

And there it is.  That word, that horrible sinking feeling word. The implied connotation to our kids and our “almost growns” is . . .  you can’t buy the things you want, you will never have enough money, and you are a one emoji away from busted.  Life is one trick multiple question with “none of the above” always included. 

Need stats to support this? 

Per Business Insider (Mellinnial Research) mellinnials are less likely to form households, are far more tech savvy (no surprise there!), are less brand loyal, and less likely to get married.   How can that information be translated?  Our kids are much less “tied down” to the traditional and have many more tools to seek out a different path than we did, and are constantly bombarded by information overload.  Further, consider what one nearly grown co-ed told us recently:  “I need to combat the money lies I keep telling myself.  I don’t, however, want to be tied down.” 

Let’s move into their world

Let's deep six the word “budget.” What do we suggest instead?  Spending Plans.  After all, who doesn’t want to spend?  Plus, giving yourself (and them) permission to anticipate dreams fulfilled, cars, and perhaps more education (one can always hope) by moving their money around their way.  This puts them in the driver’s seat. 

We’ve heard a lot about “words mean something”, and when it comes to our off spring, this certainly is true.  As you begin your knowledge-transfer to them as they are almost out of the nest, allow them to succeed and occasionally fail.  Emphasize their freedom and their long-term dreams.  You will get a much bigger “buy-in” to money management when they create their spending plan.  “Budgets”, in our opinion, not so much!

Have a GREAT WEEK, and as we say . . . 

You CAN Have Success in the Middle of it ALL

Till next time,

Pam and Holly