The secret to raising financially independent young women
Financial confidence is something that people teach their sons early and often. Parents now realize the importance of showing their daughters how to be savvy with money. Money lessons give girls the tools they need to become financially independent as they grow into young women. Most schools don’t teach personal finance strategies in their curriculum, however. Until they do, lessons about money have to take place at home. Educate your daughter about finances, savings, and investing from an early age.
Leading by example
Children learn based on what they hear, see, and experience on a daily basis. Teaching them about money equality begins with parents and siblings. Show your daughter that women have a place in financial decisions. Teach her that men don’t inherently deserve or earn more than women.
Daughters need to see the women in their lives as an example. The men need to set an example, as well. Something as simple as seeing her parents discuss the weekly food budget or what’s necessary for a family vacation will reveal that women not only contribute financially but also have a say in money matters.
Creating money management lessons
If your daughter is old enough to earn an allowance or say that she wants a toy, then she’s old enough to begin learning about money management. Age-appropriate lessons are essential, but children are smart. It doesn’t take much to explain the relationship between money and purchases.
Teaching the value of managing money and saving for what she wants will also instill good habits. For example, children who understand how to choose between what they need and what they want are less likely to make impulse purchases later in life. They won’t even fall victim to the displays at the checkout counter.
Maintaining an honest approach
Never let your daughter think that money is a cure-all. It can’t fix everything. Don’t allow her to believe that it’s readily available, either.
Share your financial insecurities with your daughter. Don’t shield her from the truth. You don’t have to paint a picture of worst-case scenarios, but if you tend to spend too much money on something or if you’re bad at saving, be honest about it. Let her know that no one’s perfect.
How do you plan to help your daughter on her path to financial independence?