Guiding your life’s biggest financial moments

Personal Finance

How Grandparents Can Help Their Children Raise Financially Responsible Grandchildren

Kiplinger logo

As grandparents, we know our adult children are shocked that we were able to raise them and that they lived long enough to tell how lame their education was. My daughter used to give me many instructions on feeding a baby when I was watching her children: my grandchildren. I joked, when she handed me her homemade baby food with a teaspoon and bib, saying, “Oh, do I have to give her baby food?” I used to leave a bowl of Cheerios on the floor for you kids when you were young and let you eat next to the cats.

We know as grandparents that there are things we should not do with our grandchildren, like:

  • Never let them eat candy.
  • Never let them wake up after bedtime.
  • Never let them do things that their parents would discipline.
  • Never buy clothes without parental approval.
  • Never mention the words “baby weight”.
  • Never compare grandchildren to their parents.
  • Never give your child almost any advice about their period, custody decision, suggested names for children, feeding practices, medical beliefs, etc., etc., etc.

The point is, we as grandparents are extremely important in the lives of our grandchildren. Hugs, stories and most importantly, unconditional love. We will create memories that will stay with our grandchildren forever. But we can also teach valuable lessons. Not only talk about it, but actually impart some wisdom and advice… which I bet your kids will really appreciate.

The subject? Money. Yes, you can teach all of those lessons that you might have missed with your own children.

Many of us may think that “spoiling the grandchildren” is just part of our job description as grandparents, but it isn’t. Do you find that every time you go to see your grandchildren they ask, “What have you brought me, grandma?” Come Clean Up: Do you always show up with a gift for the grandchildren? I understand. There is nothing that warms my heart more than seeing the smile on my grandchildren’s faces when they are excited about something I bought for them.

But if you do that, you shouldn’t be surprised when the little ones are looking for that gift that you brought because you contributed to this pattern. This is the classic Pavlovian response. You are promoting the “eligibility program,” as I call it.

Just think about your relationship with your grandparents. I bet these fond memories don’t include all the goodies they bought for you. Mine include chats and hugs and the fact that I could never disappoint my grandma. Grandma Jewel was my biggest fan. This is what I remember. I could call her any time of the day or night and she always made it better. This relationship continued into adulthood, when she never even mentioned when I wore an outfit with only one epaulet on. Oprah. I saw the clip and looked like Igor in Frankenstein, but she just said I was awesome. Only a grandmother could say that.

Create memories with your grandchildren. They want your time. You can do an activity with them. Do you cook or play golf? These are great activities to do with the grandchildren. You can turn all of this into learning experiences as well. Cooking, for example, involves reading a recipe, a trip to the store to buy the ingredients, and then the science and art of making the dish. I still make Grandma Jewel’s Chicken Soup recipe.

Do you remember when you were a kid? You chose something you wanted and you worked hard for it. You saved your money and finally bought this bike or this doll or a special gift for mom. I bet you took good care of that bike, and you might still have that doll. Why take this autonomy and this joy away from your grandchildren?

Give your grandchildren odd jobs to do around your house so they can earn extra money towards their goal. They can sweep walks, change light bulbs, water plants, weed gardens, help clean up the attic, help put photos into scrapbooks (a great time to tell family stories), and help out. other tasks.

These activities promote the principles of “work for pay” and will help your grandchildren get closer to their goal, without hampering their hard work by simply spending all the money to buy what they want. Celebrate when they can finally buy the item they saved up for. It doesn’t matter, if they’ve worked hard and are saving responsibly, to set up a Grandma’s 401 (k) pairing plan to help them achieve their goal.

Now, when they come to visit us, they won’t reach out. Instead, they’ll ask you what odd jobs you offer them to do to make money.

Get permission from your children first. But now is the perfect time to put together a real debit card, spending plan, and investment solution for your grandchildren. I work as a consultant with a company called Greenlight. I love their platform because it allows kids to earn, spend and invest responsibly, while allowing the adults around them to look over their children’s shoulders to coach and endorse their activity. You don’t just give money to your grandchildren; you encourage them to earn it while making it a learning tool.

I spoke with Tim Sheehan, CEO and co-founder of Greenlight. He told me, “The whole family can now play an important role in teaching children about money. Grandparents have a lot of wisdom and experience to offer, and they have a huge impact on the financial habits of their grandchildren. Greenlight’s all-in-one money management platform helps families teach children key lessons such as how money is made, the importance of saving and spending wisely and even how to invest to build long-term wealth.

You will always be the grandparents who sprinkle magic glitter on bad times to make them better. You will be the grandparents to make wonderful memories with your grandchildren. You will be the grandparents to whom your grandchildren can take refuge their lame parents.

Hang on with your kids, they’re doing their best … and before they know it, “… they’ll be promoted to grandparents!” “

You may also like...

Leave a Reply