Investment books for kids

LOL pablo!
my girls would NEVER resort to rags...the boy, well he is a boy, probably wouldn't care. Luckt his aunts always buy him clothes for Christmas!;)
 
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.

Great point Joan.

Teaching by example is more powerful than reading books.

We're telling our girls what we do with money & investments. They don't seem too interested yet.

Maybe I need to find a way to make it a bit more interesting / fun.
 
Kids

Hiya

I posted an earlier thread re motivating my son and got some great suggestions. (He's 13 years old). Lo and behold, the following was what works:

1) show him the thread and all the postings

2) 3 weeks ago, his school had the kids play the national ASX game (for high school kids) with $50,000 "paper" money; boy oh boy, was he aggressive; he rose to top his grade these few days and is fighting tooth and nail to hold his ranking...against competitor 1243gsv (all names are withheld).

Checks his portfolio the minute he hits home!

3) Also what worked for the other 2 younger kids was my promise that whenever each child hits $10,000 in savings, mum will top up dollar for dollar!
(not the first child only but every child).
 
Slightly OT but relevant to teaching kids.
My youngest is in yr 9 and doing a business/finance subject at school where they were given the following situation to advise on by pretending to be a financial advisor.
mr and mrs x have 2 kids, their own home (paid out I think), a rental (neutral cashflow), their income less expenses leaves about 10k per year spare. the x's want to buy a new car for 50k, a flat screen TV for 5k, and have a holiday for 20k. How would you advise them?
Daughters reply: put off the holiday to save up for it. You don't need the extra tv (they already had 3). Perhaps choose a cheaper car over brand new. Look at improving the rental to increase its yield.

She got failed.

The correct answer was: Sell the rental because it's not making them any money:rolleyes:, get a 2 year interest free for the tv and personal loans for the holiday and car.

It is going to be a really interesting parent/teacher interview this semester.
 
oooooo ... i would've marched straight down to the school for a teacher chat! what terrible terrible advice to be giving kids of that age.

perhaps it would be better if your daughter wrote a 1 page paper on why her answer was correct - including such items as capital gains and delayed gratification.

sounds almost as bad at the spoof "american teacher" on the cba ads.
 
Slightly OT but relevant to teaching kids.
My youngest is in yr 9 and doing a business/finance subject at school where they were given the following situation to advise on by pretending to be a financial advisor.
mr and mrs x have 2 kids, their own home (paid out I think), a rental (neutral cashflow), their income less expenses leaves about 10k per year spare. the x's want to buy a new car for 50k, a flat screen TV for 5k, and have a holiday for 20k. How would you advise them?
Daughters reply: put off the holiday to save up for it. You don't need the extra tv (they already had 3). Perhaps choose a cheaper car over brand new. Look at improving the rental to increase its yield.

She got failed.

The correct answer was: Sell the rental because it's not making them any money:rolleyes:, get a 2 year interest free for the tv and personal loans for the holiday and car.

It is going to be a really interesting parent/teacher interview this semester.

Shocking advice!

They really need to lift up their game if they are going to teach this properly in schools.

I wonder where is this advice coming from?
 
Slightly OT but relevant to teaching kids.
My youngest is in yr 9 and doing a business/finance subject at school where they were given the following situation to advise on by pretending to be a financial advisor.
mr and mrs x have 2 kids, their own home (paid out I think), a rental (neutral cashflow), their income less expenses leaves about 10k per year spare. the x's want to buy a new car for 50k, a flat screen TV for 5k, and have a holiday for 20k. How would you advise them?
Daughters reply: put off the holiday to save up for it. You don't need the extra tv (they already had 3). Perhaps choose a cheaper car over brand new. Look at improving the rental to increase its yield.

She got failed.

The correct answer was: Sell the rental because it's not making them any money:rolleyes:, get a 2 year interest free for the tv and personal loans for the holiday and car.

It is going to be a really interesting parent/teacher interview this semester.


OMG that is so wrong. How can this person be qualified to teach business/finance?

How can there be a "correct" answer (when the teachers is so wrong):rolleyes:. With the extra $10K they could buy another property that's not making them any money.:D

I'd agree with Lizzie. Get your daughter to explain it to her (then he/she might get it).:p

Mind you I'd hate to teach High School.
 
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