Money is often a difficult and contested subject for families to talk about. As children get older and start gaining access to their own savings or living independently, it is imperative to make them financially aware by encouraging two-way conversations on the topics surrounding money. T. Rowe Price’s 11th Annual Parent, Kids & Money survey found that 50% of children reported wishing their parents had taught them more about money. “Without a working knowledge of money, it is extraordinarily difficult to do well in life,” says Sam X Renick, financial education expert.
How can parents give practical advice and share experiences to provide their children with a solid understanding of saving, budgeting, investments, tax and pensions? As children leave school, university or start working, it is essential they build awareness to help them make financial decisions. Offering reassurance and sharing your own financial experiences when you were a similar age is a good place to start. Discussing what it means to manage your money - budgeting and saving and how you do this in practical terms – will provide context to help your children become financially responsible and set them in good stead later on in life.
In a recent interview with Talk Education, ‘Student finance guide: saving, budgeting, investments, tax and pensions’, Swaati Taylor, Wealth Planner, discusses the key considerations that sixth formers, young adults and their parents need to be aware of when they’re planning their finances for university and beyond. During the interview, Swaati shares some of the options available to help parents plan ahead for their children’s future, and discusses the various structures to be considered:
A strong financial foundation from an early age will help young adults maximise their income and develop a responsible attitude towards money.
 T Rowe Price 11th Annual Parents, Kids & Money Survey, 2019
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