Many parents know that seemingly inconsequential spending habits that children learn at a young age can later translate into serious decisions they make as adults — about credit cards, auto loans and home mortgages.
Gary Foreman, editor of The Dollar Stretcher website, said parental expenses is a popular topic on his site.
“Parents are supposed to pay for the things that kids need but not necessarily for their wants,” Foreman said. “We need to provide them with shoes, but $200 sneakers are a want. If kids feel that they can’t live without those things, they should be invited to do extra chores around the house or work to earn the extra money. That way, parents have fulfilled their obligation to care for their children and also taught them a valuable lesson that will pay off when kids become adults.”
Distinguishing between needs and wants was a common refrain from our experts.
“Once kids have skin in the game, they may better decide what purchases are most important to them,” said Paul Golden, spokesman for the National Endowment for Financial Education. Gregory Karp, The Chicago Tribune
