Investment books for kids

We've two girls, aged 12 & 14.

In terms of financial education, they have played cash flow. They liked it and they seem to have learned quite a bit from it.

I didn't think of getting them to read investment books until recently. I gave our older one "The richest man in Babylon" to read. She did read it and seemed to have learnt quite a bit from it, although she didn't enjoy reading it as much as Harry Potter.

I'm curious to find out what investment books did people find their kids enjoyed reading & learnt from.
 
Hi,

I'm interested in this as well, I've read my kids the Richest man in Babylon so that I could explain a few things and they seemed to soak some of the info in but got bored after a 10 minute sitting. All the other kids books I've seen haven't been very good.

I think your better of explaining a few things now and again your self.
 
That's a good point.

We do tell them what we are doing with our investment properties and shares investments, but that's a bit passive for them. They're sort of interested but not that much. It's a bit passive though. I'm a bit concerned they're not learning that much about finance.

However, they are probably learning by observing us, both in terms of our spending and investment habits, so they probably understand more than we are aware of.
 
I'm still at a loss how to get mine to work for money. I had a brief burst of getting her to do jobs for money (after 6 weeks of not doing them and reminding her that she's behind by $66 now so how is she going to get a Wii). People keep giving her things and money so she doesn't *need* to work for anything.

Now she's forgotten about what she wanted the money for (a cubby) and has developed an unhealthy fixation with the large pile of dirt in our backyard (which she thinks is a cubby), and she can't comprehend it is NOT permanent and NOT the best thing in the entire universe.

So I'm still at step 0 - how money is earnt, not even close to discussing how you make more money out of money once you've got it. We've tried to explain how you can get components and put them together and sell them at a profit but she is still too young (9) to realise that the whole is worth more than the sum of the parts. I tried to use jewellery making as an example as it is something she is interested in and a possible way of making extra money. She thinks that if you go to a cafe or restaurant or the school tuckshop and buy a meal, then the cost of all the parts is exactly what you will be charged, the same principle applies to making jewellery to sell and thus there is no point even bothering - also makes her desperately want bought lunches all the time and we can't convince her that home-made ones are cheaper. Once I've got her past this block we might get somewhere.
 
So I'm still at step 0 - how money is earnt, not even close to discussing how you make more money out of money once you've got it. We've tried to explain how you can get components and put them together and sell them at a profit but she is still too young (9) to realise that the whole is worth more than the sum of the parts. I tried to use jewellery making as an example as it is something she is interested in and a possible way of making extra money. She thinks that if you go to a cafe or restaurant or the school tuckshop and buy a meal, then the cost of all the parts is exactly what you will be charged, the same principle applies to making jewellery to sell and thus there is no point even bothering - also makes her desperately want bought lunches all the time and we can't convince her that home-made ones are cheaper. Once I've got her past this block we might get somewhere.

Patience. She's only 9!

Money doesn't matter much at that age.
 
Ah, but there's always *someone* who was making lemonade from lemons they swiped from someone's tree and selling it at a profit from the age of 6, then went onto selling cans they bought for $1 at the supermarket for $2 at the school and then got their first investment property in cash the day they turned 18 because they worked out every trick in the book to earn money as a kid :p

Mine has a big fat zero grasp of money - other kids younger than her *do* have a grasp of it. I hope it'll come before she's 18. She also can't use phones but THAT one I don't mind her not learning until she moves out :cool: My other kid (age 2) is almost old enough to answer the phone now so at least one of them can grab the phone for me when I'm on the loo.
 
We've two girls, aged 12 & 14.

(snip)

I'm curious to find out what investment books did people find their kids enjoyed reading & learnt from.


I (thankfully) don't have any kids yet, but I started learning about investing at around the same age. Kiyosaki's "If you want to be rich and happy, don't go to school" was the first book on that topic that I read. Be warned, though; their marks and attitude to schooling may suffer as a result. I know that mine did :eek:.

The ASX games were also good value, and there is one run for students; maybe see if their school is involved. Games, as you've already seen with Cashflow, are great for learning new concepts.
 
Even non-financial computer games can get up your money smarts. A lot of strategy games need you to earn money before you can spend money, or have proper economies and so forth. Big online games like Eve have incredible detail in them. I couldn't recommend any offhand (Eve is inappropriate for that age) - there are just SO many. The older they are the less blood and gore they have though :)
 
I'm curious to find out what investment books did people find their kids enjoyed reading & learnt from.
A bank book!! :p

I found one of the greatest motivators in teaching kids the benefit of "saving" (which is of course the first golden rule of investing) is to open a bank account for them, perhaps giving them a head start (something as small as $50 is sufficient) and then get them to watch it grow!! Most kids will get a real buzz from watching the balance go up with each deposit. :)

Investment books are a good idea but they are more geared to adult readers and as such can be a bit much for youngsters. That's not to say that kids SHOULDN'T be availed of them if they show an interest in finding out more, I'm just saying not to worry if you can't find a book that will capture their attention or interest.

Either way, I think you're doing the right thing in encouraging a healthy interest in saving/investing by playing the cash flow game.

Keep up the good work!! :)
 
from the moment junior (aged 6) got pocket money, she was given two jars and got two lots of $2 - one lot when in the jar she labelled "spending" and the other lot goes in the jar labelled "save". she gets a real kick out of saving up enough money in her "spend" jar to buy something she wants (currently my little petshop toys), and an even bigger thrill from counting the money in her "save" jar.

it is a bit of an effort to convince her to put the "save" money in her bank account as she loves to see it add up. when asked what she is saving for, it fluctuates between a horse and a house.

i guess i'm lucky that she doesn't like going to the school canteen or blowing her money on lollies (that will come i guess), but i think she's off to a good start.
 
Hi Housekeeper, In our house we are big on learning to budget first as we believe that being able to manage money will always put you ahead of the pack.

With ours we started with mobile phones on a very tight budget.
She got $20 per week at age 13. This had to cover her mobile phone (which always had to be in credit as it was for emergencies :rolleyes:), her clothes (not shoes, uniforms or undies) and her social life and tuckshop.

And yes I know the calls are cheaper when you stick them on a plan on your credit card but all that teaches them is to depend on you. so it was prepaid.

it was the best thing we have ever done, she is now (at nearly 21) very good at managing money. She bought her first property at 18. Getting married has slowed her down a bit as her hubby isn't quite up to speed financially but she is training him!

The next 2 are half way through the program now at 16 and 14. They know how it is and when they whine about affording something or other I just say "you know how I love these kind of life lessons" and they roll their eyes at me!

Master 16 is all fired up at the moment though as he wants to buy a house before his sister did. She was about 3 months short of 19 so he is aiming for as soon as he turns 18 LOL. He probably will too the canny little bugger.;)
 
it fluctuates between a horse and a house.
Mine spent most of 2007 wanting a 3 storey house in Perth.

Then it was a ride on horse (the sort that cost $400 - Santa got her a $20 hobby horse because she wasn't specific enough and she seems happy with it)

Then it was a pink rug that she never put away a penny for because she always wanted to buy lunch. Her dad bought her that one.

Now she is mostly goal less. She likes wiis but I haven't convinced her to save for one. Her dad will probably get her one of those too ...

Actually most things she wants she just drops hints and people buy it for her - doesn't matter what it is, hints make things magically appear. Her whole life is the same story. Considering she is also a serious looker, she's going to be a shockingly high maintainence girlfriend to some poor boy one day.
 
i found a big learning curve for hubby's older girls was that twice a year they got a lump sum clothing allowance once they turned 13 - $300ea at easter and labour day weekend (april for winter - october for summer).

out of that they had to buy all their clothing/shoes/swimmers/accessories/underwear etc (except their school uniforms as we still paid for that) and that was it - if they blew the look on unwearable shoes then they got nothing more. i didn't judge and didn't ask questions - although i would try and guide them if they approached me to.

they very quickly learnt that they could get 3 quality target t-shirts for the same price as one billabong shirt ... that the coat from ses was as good as the one from cue, especially as you wanted it to only last one season (due to fashion at that age).

best budget lesson they had really.
 
Back to the origoinal topic: Investment books for kids.

I just got an email from BANTACS. Noel Whittaker (and son) have put out a book called Beginners Guide to Wealth. I don't know whether it's any good, but he's pretty sensible. You can order it from his site: www.noelwhittaker.com.au

Scott
 
I can't take mine clothes shopping for what *she* wants. The clothes she wants to wear aren't in her size anymore, so she gravitates to the 1-3 and 3-7 size stuff (all frilly pink barbie branded) and I have to literally force her to wear anything from the shops in her size - 10, where its all black and purple and denim and Hannah Montana. She hates anything that isn't baby pink with a passion and refuses to wear anything denim because GIRLS don't wear anything except SKIRTS.

She's going to hate me this year. My mother has been making her pink frilly floppy clothes in baby styles but she's been banned this year.

Do you have Best and Less in NSW? There's some really cool stuff in there, very cheap. I'm going to march The Child in there soonish and get her a winter wardrobe at gunpoint.
 
She's going to hate me this year. My mother has been making her pink frilly floppy clothes in baby styles but she's been banned this year.

why - if that's what she wants to wear, and grandma is happy to make, i'd personally let her wear it. junior wears some real odd assortment of clothes when we go out - including stuff from the dressup box - but as we are all individual and different, i don't want to quell her uniqueness.

you never know re - "the child" must just grow up to be some eccentric and sensational fashion designer.

** i know - i know - off topic!
 
She's starting to get teased by the other kids for all sorts of things - that's as good a reason as any to try and convince her to wear clothes like the other kids wear. Not so bad when they're little, but she's tweenage now and is starting to get self-conscious. She's really weird in a lot of ways and the other kids have noticed how weird she is (as kids do) I don't want to add her bizarre taste in custom-ordered floppy frilly mismatched bag lady clothing added to the mix when it is actually something I can do something about.

Be different if she was 19 or so, had the self-confidence to go with it and was trying to be emo but she thinks she looks like a fairy princess ...

ETA: she has a uniform at school but I've caught her headed out wearing blue trakky daks rolled almost to the knee, bright purple and blue striped socks pulled as high up as they go (so the heel is halfway up her calf) to meet the pants, and pink sandals ...
 
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Whoa, and i thought some sports parents were pushy, learning is good, but some of the conceps and ages you guys are talking about is just wrong.

What about monopoly??
 
I found mine weren't ever really interested in the books and the more I pushed them to read the less they read! That is why I prefer practical application over books. We openly discuss all aspects of our finances with our kids in a general sense. If they inquire more deeply then we explain more thoroughly, otherwise the general explanation is enough.

I would rather be a bit hard now and have my kids learn to budget than hand them everything on a plate and then expect them to manage as adults. Think of how you teach a kid to walk. you hold their hand until one day you let them do it on their own. or to drive, you don't say "here read this book and then you can drive" you have to give them experience with someone there to help.
That is what we do with the money. Sure the first few months they blow the lot on movies and takeaway, then the phone credit runs out and we make them wait until they have enough to recharge, we don't bail them out with credit. Then they learn that to have what they want (phone credit) they need to space out the buying of other wants (lollies and movies). It teaches them priorities in their language.

Also by giving them the money to budget you are showing that you trust them to make the right choices. You will bite your tongue a lot in the first few months! Then they might show some interest in the books. But I would wait until they ask for them.
 
Hi Housekeeper, In our house we are big on learning to budget first as we believe that being able to manage money will always put you ahead of the pack.

With ours we started with mobile phones on a very tight budget.
She got $20 per week at age 13. This had to cover her mobile phone (which always had to be in credit as it was for emergencies :rolleyes:), her clothes (not shoes, uniforms or undies) and her social life and tuckshop.

And yes I know the calls are cheaper when you stick them on a plan on your credit card but all that teaches them is to depend on you. so it was prepaid.

it was the best thing we have ever done, she is now (at nearly 21) very good at managing money. She bought her first property at 18. Getting married has slowed her down a bit as her hubby isn't quite up to speed financially but she is training him!

The next 2 are half way through the program now at 16 and 14. They know how it is and when they whine about affording something or other I just say "you know how I love these kind of life lessons" and they roll their eyes at me!

Master 16 is all fired up at the moment though as he wants to buy a house before his sister did. She was about 3 months short of 19 so he is aiming for as soon as he turns 18 LOL. He probably will too the canny little bugger.;)

Joan,

This is a very good point, my parents did the same thing with regards to budgeting and it has taught me how to live below my means and do without some of those things that others have and that I could easily afford.

However it did see me walking around in rags (ok maybe not that bad) when I was a kid as I had better things to spend my money on.

Paul.
 
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