| >She’ll be our nation’s First Lady in just | | | | the presidential offspring, too. Even in that fish bowl |
| a few weeks. But she’s also a mom raising | | | | White House lifestyle, the Obama kids can shop online. |
| two young daughters. Does that mean that Michelle | | | | Parents may contribute to the shipping charges from |
| Obama -- the parent -- has a more difficult task than | | | | the family budget, so the children don’t feel they |
| most of us? What will she need to teach her kids | | | | are disadvantaged. |
| about money, and the realities of money | | | | 3. Stick to your principals no matter what. |
| management? | | | | Many parents get “soft” and let kids |
| Beyond the “fish bowl” effect of the | | | | manipulate them by tears. No toy or game is so |
| presidential mansion and lifestyle, Mrs. Obama must | | | | important! My advice to parents: Do not give in! Instead, |
| shelter her young children from the media and from an | | | | teach youngsters how to save for what they want, |
| eager public clamoring to know every move the First | | | | making a calendar that indicates how many days they |
| Family makes. Yes, the Obamas are in a position to | | | | have to save to buy the items desired -- whether |
| give their daughters everything. But is that wise? Good | | | | it’s an I-Pod or a designer outfit. This delayed |
| parents want to provide the best to their kids -- but | | | | gratification will serve the kids well when they grow up |
| we realize that by providing everything to our kids | | | | and need to provide their own living. And they all will |
| (without them worrying about anything or learning to | | | | grow up soon enough! We need to prepare our |
| economize) they may grow up without appreciating | | | | younger generation to survive outside of our |
| what they have. They may never understand the | | | | protective bubble. The Obama daughters will also have |
| value of a dollar or how to navigate difficult financial | | | | to face the same challenges as they grow up, in the |
| times like we’re facing now. | | | | public eye. So the incoming first lady has a more |
| We all know of spoiled celebrity kids that make millions. | | | | challenging task than many of us. |
| However, without knowing about the realities of | | | | 4. Needs vs. wants… |
| money, these privileged youth can end up in clinics for | | | | One of the most important principals in life is to |
| depression or substance abuse. Clearly having an | | | | understand the difference between “I want |
| abundance of money and possessions does not bring | | | | that fantastic BMW to impress people as I zip around |
| these kids happiness. | | | | town” vs. “ I need that used Honda to |
| It will be a huge task for Mrs. Obama to come up with | | | | get to work.” This is one of the most important |
| ways to teach Malia, age 10, and Sasha, age 7, about | | | | lessons in life. You can be a happy or unhappy person |
| the value of the dollar in such a plush environment. I am | | | | whether you have the beat-up Honda or the flashy |
| a Certified Credit Analyst with children the same ages | | | | BMW. When your children tell you what it is they want |
| as Michelle Obama’s. As do millions of families | | | | (cell phones, MP3 players, fancy clothes, etc.) you need |
| in America, however, we live in a normal but | | | | to help them distinguish between their definite needs |
| comfortable environment. Teaching kids about money | | | | and their fleeting wants. In my family, Jackie likes |
| management has been a big task for me -- so I take | | | | gorgeous clothes as any girl does. She needs jeans so |
| my hat off to Mrs. O. As I said in my book | | | | I provide that for the Wal-Mart or Target price. If she |
| “GIVE YOURSELF THE CREDIT YOU | | | | wants to have designer jeans or one of the celebrity |
| DESERVE,” delayed gratification and money | | | | brands, I give her the Wal-Mart price funds and she |
| management are two of the most important pillars to | | | | can add to that, from her own allowance, to pay for |
| raising children to happy adulthood. | | | | the “want factor.” She can shop for the |
| Let’s look at these tips and truths related to | | | | best price and compare the celebrity brands in |
| raising financially-responsible kids: | | | | Wal-Mart to the designer mall prices. It is her choice |
| 1. Mommy’s (or Daddy’s) money is not | | | | where she wants to shop and what she wants to buy. |
| your money! | | | | No matter where you live you can use these principals |
| No matter where our kids grow up, they need to | | | | with your own children for good “money |
| understand that Mommy’s money is not their | | | | parenting.”(That would help even you, Mrs. |
| money. This must be taught early, so children will know | | | | Obama!) |
| how to live within a budget. Moms can, and should, | | | | 5. Teach them to s-a-v-e. |
| establish an allowance. I believe that by age 10 a child | | | | If you provide your kids with an extra budget for |
| should receive between $20-$50 on a regular basis, | | | | school, including lunch money, it’s a good idea to |
| unless you are one of the super-wealthy going to | | | | reward them if they are spending their money wisely. |
| expensive places where they will need more. Using | | | | Give them money for a week or for a month yet still |
| this method, moms can create a whine-free private | | | | take 10 minutes each week to reward them for saving |
| life! I do not buy ANYTHING for my children outside of | | | | money successfully. Establish a mommy/daddy 401K |
| the basic necessities of life (food, needed clothing, and | | | | for them. If they save a dollar (by not purchasing |
| school items). My kids have their own allowance and | | | | pricey soft drinks from the machine or by packing |
| they have to buy toys, treats, or non-essential school | | | | cheaper lunch from home), match their savings with |
| or clothing items from their allowance. The future first | | | | your mommy 401K. Teaching your children to save |
| lady can establish an appropriate allowance for her | | | | money, while rewarding them for their behavior, will |
| two girls to teach them about the value of a dollar. | | | | help them tremendously in life and enhance their |
| Even affluent parents are dealing with today’ s | | | | feelings of accomplishment and self esteem. They will |
| financial challenges. | | | | learn valuable financial lessons and be much happier by |
| 2. Give kids the freedom to choose… and to fail. | | | | following these principals. |
| I give my children the freedom to choose to get what | | | | Wherever you live, whether that’s in a small |
| th ey want. This might lead to them not having enough, | | | | town in Pennsylvania or in the White House on |
| or any, money by the end of the month. Some people | | | | D.C.’s Pennsylvania Avenue, you need to teach |
| think that this system is harsh -- but my kids love it. | | | | your kids about money management and the truth is, |
| Chris became the best shopper, because he found | | | | life in suburban America offers more realistic |
| stores for used games and electronics. He even ch | | | | circumstances than the future first lady in the White |
| ecks out which flour has more fiber and costs fewer | | | | House will be facing. Good luck Mrs. Obama! We |
| dollars per pound. I believe this technique would work | | | | know you can do it! |
| not only for kids living in an average household, but for | | | | |
