Here are some articles that caught my eye this week…
While we may wish that our schools did a better job of teaching our children basic financial skills, the bottom line is as parents, it is our responsibility to prepare our children to become responsible adults, and part of that is teaching them wise financial principles. Unfortunately, many times this doesn’t happen because often our parents didn’t teach us, and therefore we aren’t sure how to teach our kids when we have a bit of a mess ourselves. While I don’t think we necessarily need to involve our children in every detail of our finances, taking the opportunity to find those teachable moments whether they be good experiences or bad is a great way to help them. It is also important to provide them with opportunities to practice handling money in smaller ways while they are under the safety of your roof, so that they will learn the skills they will need to manage their own money when they are on their own someday.
Love the idea of being very specific and putting a face on your goals. For many saving money requires a change in habits and changing habits usually only occurs when we have something that we want more than the behavior we are practicing today.
Seems like everyday we hear another story about a data breach at another company. Just this morning I saw a story that the issue that was reported by JP Morgan Chase earlier this year actually affected many more accounts than was originally reported. So what can a person do? While it is probably impossible to guarantee that your identity will never be stolen, there are steps you can take to make it more difficult for hackers to target you and your accounts. The most important thing you can do is be vigilant. Check your statements. Watch your accounts online. If you notice anything unexpected or suspicious report it immediately. If you report the fraud quickly you are not liable, but getting everything straightened out can be a real pain.
I believe a large part of our current student loan crisis is really a parenting issue. Don’t allow your child to sign up for tens of thousands of dollars in debt for a major that will not lead to a career that will provide them the earning ability to pay back the loans. I do think it is important for young people to pursue something they love, but at the same time be smart about the debt you rack up. Graduating with $100,000 in debt for a career that pays $25,000 a year almost guarantees them a lifetime of payments. Don’t allow your children to do that to themselves. Better yet, encourage them to find ways to get that degree without the mountain of debt.
Depending on where you live you may be starting to see cooler temperatures that signal winter is just around the corner. Having a well insulated house can save big bucks on your utility bills.
Having a good income doesn’t eliminate the ability to get yourself in a financial mess. For many it just means they have the capability of digging an even bigger hole. Here’s what one family did when they realized they were in deep trouble.