This week I had the pleasure of talking to Will Rainey, founder of Blue Tree Savings, about his work teaching parents how to teach their kids about money.
I really enjoyed our conversation because it helped me think about my own money habits and how my habits are helping shape the way my children see money and think about its uses.
The episode offers a great chance for you to reflect on your own money habits and possibly even talk to your kids about how they see money. Whatever your financial situation right now, this episode holds valuable insights that could help you take steps towards the financial life you want and, even more importantly, show your kids how to create a solid financial future for themselves.
In this Episode
Why not just teach kids directly?
Will explains why teaching parents is more powerful and has longer lasting results.
At what age should you start teaching your kids about money?
I was quite surprised by Will’s answer. It’s younger than most people would think!
Rich versus Wealthy
I loved this part! I had never thought about the distinction and I now definitely realise I’d rather be wealthy than rich!
3 Rules of Wealth
Will has 3 rules he teaches his children.
- Keep 1 in every 10
- Plant the seed
- Be patient
In this conversation, he explains what those rules mean in practice.
Investing without Risk
Investing is something I’ve always wanted to do but it feels risky and scary and I’ve never been quite sure how to do it. Will talks about how to reduce risk and manage investments with greater ease.
What if you don't have enough money to save or invest?
There are other ways to teach your children the skills they’ll need to manage their money. It all comes down to the third rule of wealth…
In this part of the conversation, we talk about patience and delayed gratification. We also mention the marshmallow experiment. This video explains the experiment but also talks about the important lessons we’ve learned about the value of teaching kids to delay gratification. It’s well worth a watch!
What about parent's habits if there isn't enough money to save or invest?
Building a secure financial future isn’t all about the habits of saving and investing. There is one more piece of the puzzle.