Do your children worry about money?
Some new research from Halifax has found that many children admit they have worried about money. In fact, a third of children admitted to money worries.
A large number of children are aware of money worries in their family.
Perhaps these findings should come as no surprise as nine in 10 parents worry about money.
Most fail to effectively hide these money worries from their children, as nearly three quarters of children said they were aware of their parents’ financial concerns.
Behaviour of parents when it comes to money will often filter down to the next generation.
Nearly one third of parents admitted to borrowing money from someone they know at some point and, perhaps more surprisingly, one in six children claims that they have had to do the same.
One in 10 children aged 8-11 years old say they have borrowed money.
Money management is still a relatively new topic taught in schools, only added to the new curriculum about a year ago. It is likely to take time to improve financial understanding amongst children and change behaviours.
School can play an important role in financial education; the Halifax survey found that three in five children would prefer to learn about money from their parents.
One way in which parents can help their children learn about money, and at the same time reduce financial worries, is to hold a regular family financial conference.
This is an effective way to help every member of the family understand the financial position of the household and also reinforce short-term and long-term financial goals.
A family financial conference is something your Financial Planner at Informed Choice can help facilitate; please get in touch if you would like to arrange one of these meetings, giving your children a financial education boost, and at the same time reduce any money worries they might have.