#246 – Back-to-School Financial Literacy: Essential Tips for Parents and Kids

Anna Sergunina: 00:00:00

Hey, my new boss, parents, welcome back to another episode of the money boss parent podcast. I am your host Anna Sergunina, and as the back to school season approaches, it is a perfect time to focus on our family's financial education. And I am not sorry to drop this bomb on you because I know a lot of us are excited to go back to school, shopping and all of that stuff. And I know you need to do that. But if you've been listening to this podcast, you know the angle here. So today we're diving into valuable resources, and tips to help you and your children start this next school year very strong. So I'll be covering lots of different resources must read books for you and your kids, tough online tools, informative podcasts, and even some of updates on financial literacy initiatives. Right here in California, that's where I live. And that's where I follow for the most information. So my friends, grab a cup of coffee, get comfortable, don't forget to pen and paper and let's get started. All right, so what I want to dive into, and this is going to be one of those episodes that really just kind of like a laundry list of items, because I've compiled a really long resource guide for you, as I'm pulling these resources, really honestly, to be truthful with you today for myself, and also because clients are always asking, you know, what's a good book for this, or what's a good you know, site or, you know, just kind of questions like that. So I thought, we can focus on giving you these resources. So I'm gonna give kind of go section by section, and maybe something applies to you maybe doesn't now this here particularly is going to focus on kids at different ages, age groups, depending, you know, depending how old your kids are, I'm gonna start with the, you know, as young as four year olds and kind of go from there. So that's kind of like the lay of the land of what I'm focusing on. Alright, parents, so these two books are books that I highly recommend for you to read. And please forgive me my cranky voice, I'm still recovering from post marathon cold, more on the marathon for you a bit later. But the cold is still here. And it's funny. It's summer. Anyway, okay, focusing. So books for parents to read. Two of my favorite. I would start with Ron Leber's book called The opposite of spoiled. And what the book covers is a very practical steps for parents and children to become aware about questions around money, right to start notice, what are you talking about? What are you saying? How are you behaving and really get into the weeds of what parents can be doing in order to lay the foundation and set examples for the kids. Now Ron Lieber, and I've mentioned him before in the podcast. As a side note, he's done a really wonderful article on me, he's a reporter for New York Times. Five years ago, now I'm looking at the back of my wall, because that's where the, the plaque is hanging. But he writes on all financial topics. And so he has a few books out and this is the one that I really, really love. This is like when you kind of starting to get your toes wet, and just want to hear what other parents are doing. And so Ron has done a lot of research on it. So check it out. My book number two recommendation for parents and I have actually this hard copies here. The other ones at home, I have a book called Raising financially fit kids by Jolene Godfrey. And this is a really cool book, I think it really would help parents, for kids of all ages. Because what I love about this book is that it kind of provides the combination of parenting and personal finance skills to help you kind of navigate these different life phases and I like life phases if you kids, so it's it breaks it down into four different groups. And let me just make sure that I give you the right information. So I know the first group is like five to eight year olds, then we have nine to 12 and after that we have 13 to 15 and then ages 16 to 18. And as you can imagine, as kids grow up their different level of understanding is happening for for them right as their brain is developing. So these concepts right, if we for young kids, we start with basic things like savings jars or allowance system, you know, when the kids to be teenagers, we got to start really being practical, like maybe setting up or signing them up for an investment club, and so forth, opening a bank account for them. So I really love how this book gives you these phases that you can follow so if you were to buy a book and I recommend you do buy this, this is the one because He's gonna carry you through all of these different phases and give you lots of resources. The book has checklists and, and forms or forms or like little worksheets to fill out. So I really love it. It's not a new book, it's been rewritten. But I have not found one that was kind of able to match that. And I feel like as a practicing financial planner, and I do this a lot with clients. But this is very similar when somebody's creating a financial plan. And it really does, does not matter where you are in your life phase, there is a certain set of questions, challenges, circumstances, ideas, right you're facing. And so our advice for somebody who's just starting out is very different, as opposed to advice for somebody who's getting closer to retirement. So I was drawn to this book, because of that kind of a layout, through phases. And as I'm navigating this for myself, and I'm really like at the beginning of this journey with my son, Liam, I am excited to test test drive it for you, but I am doing it along sidelines with you because we're just like in this five to eight age group. Alright, switching gears here on you a bit. And this is the section four, I'm gonna give you some ideas for books for your children. So those the previous amendments is what you read on your own. These are the books that you're going to read for them. Okay, I've got three also age groups for you. So the first one is four to seven, I had a guest on my podcast, and I will include the links for all of this, I promise you. His name is Anthony Delaney. And he's another fellow financial professional certified financial planner who really has a passion for writing children's books, that teaches practical financial lessons. And so he has like a series of them. And I last thing I've heard that he's kind of putting like this box set together.

Anna Sergunina: 00:06:58

Excuse me, and then these, these lessons aren't just like, Okay, here's the savings and you know, the the investing and so forth. But it's more practical. So the two that I want you to start with are called Michael and Hannah, and the magic money tree. And the second one is Lily, and may learn why Mom and Dad go to work. I love these like simple lessons, right? So he tells the stories in the form that kids can understand. But as parents, right, we can start to see how these concepts start to be introduced like money does that go on tree? Or like, Why does mom this mom and dad have to work starting to plant the seeds? I love I love the simplicity of it. I know. I mean, there's a million books out there. But I've gotten my hands on them and really, really been enjoying introducing them to Liam. So check this out. I will have a link for their interview we did on on the podcast previously, if you've been listening, you probably have come across Anthony's interview as well. Now the other favorite book that I've read a million times, and I'm not gonna lie, but this also came from a guest a previous guests on the show. His name is Jim Giunta Nano. And the name of the book is Larry the bunny saves his money. Oh my gosh, I think I know the story by heart now. But it was really interesting. Jim was on a podcast probably about a year and a half ago or so. So my son was still like three and a half four. And, you know, it was the financial planner was eager to start like, Okay, let's do these things. And here's, you know, here's this concepts. It took a while, right? It was not quite resonating. And I think I was rushing. But this book really helped me to not only like start to introduce these ideas, but also because he was learning numbers and learning how to count. So the story is about a bunny that gets who works for his dad and gets 10 Carrots, every paid paycheck. And then Jim goes to tell what bunny does with these carrots. And so it was really nice for you know, for a smaller child to count these carrots. But also what I love about this is it starts to introduce these basic concepts, such as spending, where he spends those carrots, where he's saving these carrots, how he's paying taxes, how he's paying, paying for his house and what he does when he goes to the grocery store and also like when he at the end of the book, like the story conclusions like okay, because he's been saving to carrots every time like right or one care 10 or 20% He now has money to treat his friends and buy all kinds of fun stuff. So as I've been reading, rereading this I feel like this is a really really awesome and easy read for for younger kids. So these are my kinda like favorite to begin with for ages four to seven. Okay, switching gears now ages eight to 13 so you kind of getting into this sort of you know, preteen Um, age group. Now, these are only from what I've researched, don't have practical applications. But I will say I've talked to my colleagues. And these were recommended. So the first one is money skills for kids by Fern Brown. And it has really practical advice, again of life examples and to kind of like without raising financially fit kids book for parents. This is also goes to like, what do you talk to kids, you know, at age eight? And how do you kind of start to introduce these concepts to them. And then the next age group is 13, to 18. And so this one is also it's a different author, but it has a similar title, it says, money skills for teens. These are the things about money management and personal finance, you must know. But they didn't teach you that in school and author is Emily Carter, I wish like I really truly wish that I personally have gotten a hold of these concepts and understandings when I was younger. Another exciting news I wanted to share on this financial literacy topic is that California is now going to add financial literacy is a requirement for you to graduate high school. And so this is very recent, but our government governor Governor Newsom, had agreed that by let's see, the legislation will require a semester long personal finance education course available for all California high school students by the end of 2027 2028. school year, and to make personal finance and graduation requirements starting in the school year of 2030 2031. I am thrilled with this. So if every state can adopt something like that, then it is an opportunity for our kids to have an exposure. This is the class oh my gosh, do you have an exposure to these basic concepts as adults, this is the class that I wish I had attended myself when I was in high school, but it didn't exist. And I lived in a different state. So I'm excited that states are starting to think that this is just like basic math and reading, this is something essential that our kids are really needing to be well rounded, and smart adults. So I wanted to share that with you too. So you have it my friends, I know that books is something that not only kids but also adults really learn from check out these you don't have to buy all of them start with just like a few. But I think as this next school year starts and wherever whatever ages of your kids are, it's a good idea to start to introduce these, these concepts. Next section is and I promise you, I will include all of this in the show notes. So if you're driving, don't kill yourself, please be careful. I'm gonna have links for these, but I have a few articles that have been written by Main Street Team over the years and to kind of set you know, giving you glimpse and ideas as to how do you how do you have these conversations as a family. So a couple of articles, one I've loved the title of it's called Becoming a financial grownup. And so this is probably for kids, probably for young adults. But also, you know, if you're looking back, and one of the things that I think I have respect, in, in the work that I do, and kind of having the opportunity to work with clients on all life phases is that you can draw examples and ideas from all kinds of ages. So a financial grownup is somebody who quit, who is 15, right, or somebody who is 20. But it's the it's this, it's the habits, it's the behavior, and it's the things that you actually do that, you know, graduate to to that level. So check out that article. If you have teenagers, right, or if you have kids that are just starting college, I have an article called Money Tips for young adults. So this is again, same kind of concepts, and I and I wish that if your kids have gone through these different phases of learning and understanding so that when they do get to be own, you know, independent grownups, then they can start to make the, you know, their own decisions, but things like how do they set up the their own budget? How do you build an emergency reserve? You know, how do you start building credit? When do you pay yourself first, so it kind of builds on all on the top of it. But again, I don't I feel like this could be revisited again and again and again. And then also one of my colleagues, Jennifer Bush wrote an article called four things I want my daughter to know, by the time she graduates from high school. So her daughter, this was some just about two years ago, I think. And so her daughter's starting high school this next calendar year, and it's a lot of interesting stuff. But what are the four areas? I mean, we talk about this too, right? Once kids start to be a certain age, we can start to introduce to them to having their own account. So what did they need to understand in the concept of banking checking account savings savings account? She now I know that her daughter now has a own debit card, and she starts to use us use that. What about a budget, right? So like these things also is something that teenagers can really be practicing as as they go. And so Mom, mom and dad can also have an oversight of all of that. And I mean, basic things that we as adults are always like reminded of, but living within your means, like how do you teach that concept to a teenager, reminding, you know what's important to remain reminding it and giving them opportunity to practice using the money that they have. And then of course, paying yourself first like, this is one of those things that if you can introduce that concept, then everything else kind of falls into place. So I'm not gonna give away the entire article I want you to read because there's lots of good nuggets and feedback for you. But those are the articles that you could check out on our website. Now, what I also have done for you, my loyal listeners, and I'm excited about this, because I've been kind of collecting this outline for quite some time, I curated a private playlist, this is a podcast playlist, called the kids in coins. And so what I did here is that I pulled all kinds of episodes on variety of financial topics for children and for parents. Now, I am nearing to almost 250 episodes here on this podcast. So I've been I've been at this for quite some time, and had guests with all kinds of ideas and concepts, and so forth. So I am extremely excited for you to get your hands on it. But again, I am focusing on this from very simple things for very young kids to you know, maybe more mature concepts for kids that are older and parents that are starting to launch them into their own independent life. So the three jars savings spending, giving, how do you choose which allowance or chore pay you're going to do for kids? What savings or investment accounts can you open, I also have recommendations on books and other resources. So I love this a lot, this is a list. So if you get it, get your hands on it not, I haven't shared it publicly. So this is kind of new. But if you get your hands on it, save it, because I'm going to continue growing it as I have more guests as more ideas come up. And I think this is really going to be one of those resources that you want to keep coming back to. And guess what these concepts are, don't go out of style. So I you know, if you have one child right now, and you know, in some time later, you can have another one, I think you can just as equally benefit from the information that's been sitting here. So those are my ideas for you, my friends today. And is as this kind of comes to an end for a back to school financial literacy special episode, I hope that you found it useful. I hope that you're going to take one or two things or more, and start start to introduce your kids in this next year. And I can totally relate to you like I'm really excited and invited, like want to talk about all of these things. But I also realized at the end of the day that I only probably have capacity for just a few things. So my personal advice to you, as a mom, on this other side of this podcast is just pick one or two, what you actually going to implement because I don't want you to have regrets kind of going at it from all angles. And so remember, because this journey is literally

Anna Sergunina: 00:18:56

is a marathon. And we have lots of time to introduce these ideas, because it's not a sprint. And I'll talk more in a bit about the the first marathon that I've just run. But I was just thinking like, how do I tie this together? I want you to make it fun. I want you to make it engaging. I want your kids to be interested in this stuff. So I really enjoyed putting together this episode. Share it with other friends that you have. Don't keep it to yourself. Don't forget to subscribe. I'd really love for you to get notifications when the next episode is published. And also I love hearing from you. So if you haven't left a review for me in the while, please do so. It takes two minutes like it really does. But it means the world to me and it helps this podcast to be spread and more people to learn and grow with us. So until next time, thanks so much for joining me remember you are the bosses of your own money.