P E R S O N A L F I N A N C I A L M A N A G E M E N T P R O G R A M Raising Financially Fit Kids

R A I S I N G F I N A N C I A L L Y F I T K I D S2 If I had my child to raise all over again, I'd build self-esteem first, and the house later. I'd finger-paint more, and point the finger less. I would do less correcting and more connecting. I'd take my eyes off my watch, and watch with my eyes. I'd take more hikes and fly more kites. I'd stop playing serious, and seriously play. I would run through more fields and gaze at more stars. I'd do more hugging and less tugging. – Diane Loomans, from "If I Had My Child To Raise Over Again"

R A I S I N G F I N A N C I A L L Y F I T K I D S3 Introduction How do kids learn about money? Four Steps to Financially Fit Kids – Explore Your Values and Habits – Develop Effective Communication Skills – Focus on the Basics Allowances Saving and Spending Basic Budgeting – Create a Love of Life-long Learning How do kids learn about money? Four Steps to Financially Fit Kids – Explore Your Values and Habits – Develop Effective Communication Skills – Focus on the Basics Allowances Saving and Spending Basic Budgeting – Create a Love of Life-long Learning

R A I S I N G F I N A N C I A L L Y F I T K I D S4 Our Money, Ourselves: Take A Hard Look At How You Handle Your Money No matter how calmly you try to referee, parenting will eventually produce bizarre behavior, and I'm not talking about the kids. – Bill Cosby No matter how calmly you try to referee, parenting will eventually produce bizarre behavior, and I'm not talking about the kids. – Bill Cosby

R A I S I N G F I N A N C I A L L Y F I T K I D S5 What is your relationship with money? What money “messages” do you send to your children? What have you done right with your money? What do you wish you had done differently? What money “messages” do you send to your children? What have you done right with your money? What do you wish you had done differently?

R A I S I N G F I N A N C I A L L Y F I T K I D S6 What is your relationship with money? What money mistakes have you made? How can the answers help envision a financially healthy child? What is the grade on your “Fiscal Fitness” Report card? What money mistakes have you made? How can the answers help envision a financially healthy child? What is the grade on your “Fiscal Fitness” Report card?

R A I S I N G F I N A N C I A L L Y F I T K I D S7 Let’s Talk: Develop Effective Communication Skills That money talks, I’ll not deny I heard it once … it said, “Goodbye!” That money talks, I’ll not deny I heard it once … it said, “Goodbye!”

R A I S I N G F I N A N C I A L L Y F I T K I D S8 How We Talk to Each Other Find a neutral time Give a little to get a little Know where you stand Bring in a third party Find a neutral time Give a little to get a little Know where you stand Bring in a third party

R A I S I N G F I N A N C I A L L Y F I T K I D S9 How We Talk to Kids Approach discussions with a positive attitude Set a tone of confidence/openness Lighten the mood Have an equal exchange – no lectures! Ask questions/listen to answers Approach discussions with a positive attitude Set a tone of confidence/openness Lighten the mood Have an equal exchange – no lectures! Ask questions/listen to answers

R A I S I N G F I N A N C I A L L Y F I T K I D S10 How We Talk to Kids Don't talk down to your child Don't bring up old financial disagreements Make sure your kids know they can always turn to you for financial advice/information Learn to say, “It’s not in our budget.” Don't talk down to your child Don't bring up old financial disagreements Make sure your kids know they can always turn to you for financial advice/information Learn to say, “It’s not in our budget.”

R A I S I N G F I N A N C I A L L Y F I T K I D S11 It is okay to say “No”. Healthy guilt helps your child develop a conscience We can all use a lesson in the difference between needs and wants Insist on a “no-nag zone”, especially when you must shop with children It is okay to say “No”. Healthy guilt helps your child develop a conscience We can all use a lesson in the difference between needs and wants Insist on a “no-nag zone”, especially when you must shop with children How Kids Talk to Us

R A I S I N G F I N A N C I A L L Y F I T K I D S12 How Kids Talk to Kids Help them cope with financial peer pressure – Listen without judgment – Share your own story – Don’t back down from your values – Encourage kids to hang out with "the right crowd" – Praise them for doing the right thing Help them cope with financial peer pressure – Listen without judgment – Share your own story – Don’t back down from your values – Encourage kids to hang out with "the right crowd" – Praise them for doing the right thing

R A I S I N G F I N A N C I A L L Y F I T K I D S13 How Advertising Talks to All of Us Magazines aimed at children Promotional toys tie in to cartoons, TV shows and movies or promote brand consciousness and loyalty Cartoon and toy characters are used on all kinds of products Databases of children Advertising in schools - Channel One Magazines aimed at children Promotional toys tie in to cartoons, TV shows and movies or promote brand consciousness and loyalty Cartoon and toy characters are used on all kinds of products Databases of children Advertising in schools - Channel One Promotional licensing of products aimed at kids Logos Children's radio networks Children's toys carrying product placements (Barbie™ dolls with Coca Cola™ accessories). Give-away programs include promotional merchandise aimed at children (McDonald's™ "Happy Meals").

R A I S I N G F I N A N C I A L L Y F I T K I D S14 Fight the Influence of Advertising Start young Explain how advertising works Point out “tricks of the trade” Explain how marketers target young people De-construct food advertising Discuss the value of money Talk about being a wise consumer Start young Explain how advertising works Point out “tricks of the trade” Explain how marketers target young people De-construct food advertising Discuss the value of money Talk about being a wise consumer

R A I S I N G F I N A N C I A L L Y F I T K I D S15 Fight the Influence of Advertising Challenge definition of “cool” Watch non-commercial TV Explain effects of mass consumerism on the planet/society Encourage non-commercial values Put shopping into perspective Promote positive advertising examples Challenge definition of “cool” Watch non-commercial TV Explain effects of mass consumerism on the planet/society Encourage non-commercial values Put shopping into perspective Promote positive advertising examples

R A I S I N G F I N A N C I A L L Y F I T K I D S16 Growing the Financially Fit Child If you want children to keep their feet on the ground, put some responsibility on their shoulders. – Abigail Van Buren If you want children to keep their feet on the ground, put some responsibility on their shoulders. – Abigail Van Buren

R A I S I N G F I N A N C I A L L Y F I T K I D S17 Allowances To give or not to give How much? How soon? For what? – Give at a specific time – Make sure they save some – Increase amount as child gets older – Clothing allowances help children learn to manage larger amounts of money – Negotiating raises teaches a valuable money management lesson To give or not to give How much? How soon? For what? – Give at a specific time – Make sure they save some – Increase amount as child gets older – Clothing allowances help children learn to manage larger amounts of money – Negotiating raises teaches a valuable money management lesson

R A I S I N G F I N A N C I A L L Y F I T K I D S18 Saving/Spending/Sharing There are multiple uses for money. 10% to Savings 10% to Sharing 80% to Spending Give Allowances in denominations that can be distributed between these categories There are multiple uses for money. 10% to Savings 10% to Sharing 80% to Spending Give Allowances in denominations that can be distributed between these categories

R A I S I N G F I N A N C I A L L Y F I T K I D S19 Kid’s Budgeting Rule #1: For all ages -Keep it Simple! Concepts for Parents of Toddlers and PreSchoolers Rule #1: For all ages -Keep it Simple! Concepts for Parents of Toddlers and PreSchoolers

R A I S I N G F I N A N C I A L L Y F I T K I D S20 Kid’s Budgeting Grades K – 2 – Saving/Spending/Sharing – Chart Savings – Plan Spending Grades K – 2 – Saving/Spending/Sharing – Chart Savings – Plan Spending

R A I S I N G F I N A N C I A L L Y F I T K I D S21 Kid’s Budgeting Grades 3 – 6 – Checking and savings accounts – Matching grants – Shopping and gift giving Grades 3 – 6 – Checking and savings accounts – Matching grants – Shopping and gift giving

R A I S I N G F I N A N C I A L L Y F I T K I D S22 Teaching Teens Younger Teens – Budgeting and financial goals – Checking and savings accounts – Taxes - Someone has to pay the garbage man – Odd jobs - Extra money for goals – Financial peer pressure can be costly – Use the Internet wisely Younger Teens – Budgeting and financial goals – Checking and savings accounts – Taxes - Someone has to pay the garbage man – Odd jobs - Extra money for goals – Financial peer pressure can be costly – Use the Internet wisely

R A I S I N G F I N A N C I A L L Y F I T K I D S23 Teaching Teens Older Teens – Prepare them for the world! – Budget with short/long-term financial goals – Savings and checking accounts – Familiar with standard costs-of-living – IRA, if employed – Teach how compound interest and time works – How to shop around for loans and credit – How to use an ATM/ debit/check cards Older Teens – Prepare them for the world! – Budget with short/long-term financial goals – Savings and checking accounts – Familiar with standard costs-of-living – IRA, if employed – Teach how compound interest and time works – How to shop around for loans and credit – How to use an ATM/ debit/check cards

R A I S I N G F I N A N C I A L L Y F I T K I D S24 Too often we give children answers to remember rather than problems to solve. – Roger Lewin Too often we give children answers to remember rather than problems to solve. – Roger Lewin Foster a Life-long Love of Learning

R A I S I N G F I N A N C I A L L Y F I T K I D S25 Resources for Raising Financially Fit Kids Your CFS (Command Financial Specialist) Fleet and Family Support Center Your Bank or Credit Union The Internet

R A I S I N G F I N A N C I A L L Y F I T K I D S26 Print Your Certificate Click on the following link to add your name to the certificate and print it: Raising Financially Fit Kids Click on the following link to add your name to the certificate and print it: Raising Financially Fit Kids