Personal Finance for Kids

I have other questions related to raising grateful and unspoiled children. How do we make sure our kids don't grow up with a sense that they are entitled to everything we have without any work? I'm seeing this attitude in the "parental help with the house" thread. I don't want me kids to assume that college is paid for and they won't have to have at least a little skin in the game. No one seems grateful for free things.
 
[quote author="tmare" date=1233892682]I have other questions related to raising grateful and unspoiled children. How do we make sure our kids don't grow up with a sense that they are entitled to everything we have without any work? I'm seeing this attitude in the "parental help with the house" thread. I don't want me kids to assume that college is paid for and they won't have to have at least a little skin in the game. No one seems grateful for free things.</blockquote>


Some ideas regarding college that I've learned from older friends w/ college kids... they can live at home rent-free as long as they are attending and getting passing grades. If they drop the ball then they have to pay rent. And if they're not going to school or working period, then they can't live at home at all and they are on their own. As far as paying for college, maybe match them dollar-for-dollar to encourage them to take ownership of their actions and goals? I suppose the answer will be different for everyone based on what they are used to culturally and also what the parents' capabilities are.
 
[quote author="tmare" date=1233892682]I have other questions related to raising grateful and unspoiled children. How do we make sure our kids don't grow up with a sense that they are entitled to everything we have without any work? I'm seeing this attitude in the "parental help with the house" thread. I don't want me kids to assume that college is paid for and they won't have to have at least a little skin in the game. No one seems grateful for free things.</blockquote>


Easy. I'll do what my parents did to me. Made me do chores around the house as soon as I was physically able to. I moped the floor, vacumed, washed dishes, laundry, took out trash, raked leaves, mowed the lawn etc. Did I get paid for it? No I didn't. Not a penny. While other kids needed allowance as an incentive to work, I got food. Food and a roof over my head. That doesn't mean that once in a while my parents let me have 5 bucks for some candy. Or bought me a toy etc.

Most kids grow up thinking they dont have to work, its not expected, and if you do...then we say good boy, you get 20 dollars.

If I needed something, I told my parents. They discussed it and made a decisions whether I needed it or not. There was no if or buts. Work around the house was the norm.



Once I hit 14, I was put to work at a real job. A job where I can earn wages. Did I keep my money? Nope. Well thats not true, I was able to keep 20% of my wages when I hit 16, 30% at 17 and 100% at 18 if I chose to leave the house. Otherwise it was 50% at 18 while still living with them. My money went to helping my parents pay bills etc. My parents still gave me food, shelter and clothing. I remember once throwing a fit as to why I couldn't keep the money I made, like my friends. My dad whacked me and said as long as I live under this roof, I need to add value and contribute. He said if I didn't like it I was more than welcome to leave and try on my own. Speaking of getting whacked, it doesn't hurt to spank your kids either. Bible even says not to spare the rod. I never got grounded either, I got a beating when deserved and that was it. (not sure I'll be doing that to my kid since laws here are quite different, but I'm sure I'll pay for it through disobedience).



Hell in my country if I did something bad in school I got beat by my teacher, then I begged my teacher not to tell my parents cause if they did...I would get a second dose. Same thing with neighbors. If neighbors caught me doing something I shouldn't, they would grab me, take me into their home and beat me and once again...I begged them not to tell my parents. Anyway, enough ranting...that is how I grew up. I'm beyond satisfied as to who I am today, so if my past brought me to where I am today...I woudlnt change a single thing.



Too many parents worry about kids not liking them or parents hurting kids feelings. Parents are not there to be your best friend. They are there to guide you and place good values in you. They are there to teach you hard work, discipline and respect.



Oh and I paid for my own college, it's not that my parents didnt' want to, they just couldnt afford it.
 
Your neighbors really beat your butt, BV? I know in the state of Texas, teachers can still whoop the children. Yeah, you can still get away with spanking your own kid in this country but I'd warn you not to try dragging in any of the kids from your IAC.
 
[quote author="SoCal78" date=1233898079]Your neighbors really beat your butt, BV? I know in the state of Texas, teachers can still whoop the children. Yeah, you can still get away with spanking your own kid in this country but I'd warn you not to try dragging in any of the kids from your IAC.</blockquote>


Lol. Don't worry skek's son is safe. My son will be too, I'll try to discipline without it and see how it goes. And yes, it is common in my country for neighbors to give you some discipline. Not sure why I say "my country" either...USA is my country now.



GO USA!
 
In case anyone is curious like I just was... I <a href="http://www.cnn.com/2008/US/08/20/corporal.punishment/">looked it up </a>and it seems corporal punishment in schools is legal in 21 states but most commonly used in 13 of those. The states where it's most commonly used are: Missouri, Kentucky, Texas, Oklahoma, Arkansas, Louisiana, Mississippi, Alabama, Georgia, South Carolina, North Carolina, Tennessee and Florida,





<a href="http://law.jrank.org/pages/11816/Corporal-Punishment-in-Public-Schools.html">Here is a chart</a> with a full list of states and details. (In California, it is prohibited.)
 
I used to get it with my father's leather belt. He took it off his waist, folded it in half, and whooped me. (He said I had it easy because his father whipped him with a razor strap.) To this day when I hear the jingle of a belt buckle, it makes me so nervous.
 
Definitely no physical punishment over here, other types of punishment seem to work just as well. But I do agree with the fact that parents don't seem to want to be parents anymore. I deal with so many parents of students that tell you things like, "He just won't do it" and "I tell him to do his homework but he still doesn't". They just seem to be powerless. I think there is also a degree of guilt associated with both parents working and kids end up being indulged because of it.
 
[quote author="tmare" date=1233892682]I have other questions related to raising grateful and unspoiled children. How do we make sure our kids don't grow up with a sense that they are entitled to everything we have without any work? I'm seeing this attitude in the "parental help with the house" thread. I don't want me kids to assume that college is paid for and they won't have to have at least a little skin in the game. No one seems grateful for free things.</blockquote>


Frankly, I'm wondering where all this stress about saving for kids' college comes from at all. I keep seeing it mentioned in posts. I never once assumed that my parents would pay for my college education. If I didn't get scholarships, then there were student loans as a backup. I suppose it would be a nice to have, but it's not a requirement in my mind as far as financial planning goes.



I'm not a parent, but can't you just tell your kids "by the way, it's scholarships or student loans for you" and be done with it? You are the parent. Period. They can suck it up and deal. I tend to have 0 sympathy for anyone who wants something without putting in the effort to get it. If I'm ever a parent and my kid whines to me about how other parents are paying for other students' tuition, my reaction would be "well, I guess you should have gotten better grades and studied more for the SAT, shouldn't you?" However, I would have set expectations such that hopefully this conversation wouldn't even happen. If my kid just didn't have the brains, well, student loans it is with a little help here and there.
 
Right on Cayci. I'm going to start a little college fund for my kid. However, they won't know about it. They will be taught survival and self motivation. If I see they did all they could and need help, I will be there to help them. But no way in hell am telling my kid oh yeah I have a trust fund for you, an IRA worth millions, and a whoping college fund. So kick back, relax, daddy will take care of you. F that. You're on your own buddy, I'll just be there to make sure you dont fall flat on your face.
 
I actually hadn't thought about the kids not knowing about their college fund. I am thinking that might be a good idea. Thanks!
 
Blackvault is going to keep a tab on how much he spends for his baby's diapers and formula. He is going to charge 3% compounded interest and present his son with the bill on his 18th birthday.
 
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