Previously we have spoken about the “THE TWO MOST IMPORTANT PERSONAL FINANCIAL MANAGEMENT LESSONS THAT WE HAVE LEARNT AND WANT TO IMPART TO OUR CHILDREN.”
For me, these lessons were :-
a) Pay ourselves first, or automated savings or living below our means, and b) Forming a peer group on improving personal finances.
Now the difficult part, how do we impart these lessons to our children? And how do we try to ensure that they implement them? Where should we start?
The art of communicating with our children is a topic that can fill many volumes. There are countless references if you Google “communicating with children”. I am no expert and somehow I don’t think just talking to my children about personal financial management would do the trick.
My two senior girls are now in their final year of undergraduate studies, and should be graduating in 2008. The eldest, Along (“Ahlong”) is doing Psychology, whilst Aja, the younger girl is doing Accounting and Finance. (I did Accounting, too, and I assure you that a degree in this field does not automatically mean that you have a head start in managing your personal finances).
I don’t think asking them to read books would be of much help either. The present generation appears to get most of their guidance and communications from the Net or from their mobile phones.
The discipline to study and to implement personal financial management steps require serious, continuous commitment and follow up. Something, a peer group with personal financial management (pfm) as an issue of concern could create and keep going. So this is what I should focus on first. I discussed with my daughters the issue of them suggesting to their group of closest friends, that pfm should be “an integral part” of their hangout agenda.
Surprisingly, they have agreed and promised me that by the end of this year, 2007, they would have this group up and running. I have no idea how they would do this. I want to do something to ensure that this becomes a reality, but not sure what or how…yet.
I welcome any suggestions, comments or ideas.