every family’s relationship with money is different
Wealth is a force for good or ill, shapes our perceptions, actions, and ambitions. In this light, it’s natural we want to help our children see how wealth can be a force for good in their lives. We want them to be compassionate, driven, and balanced as adults. And we want to lay a foundation they can use to build meaningful lives for themselves, based on sound and consistent values.
Every family’s relationship with wealth is different. For some, wealth is a recent byproduct of persistence and innovation. For others, it is part of a legacy built and preserved over generations. In every case, how we communicate this relationship to our children should reflect our unique circumstances and values.
For example, a successful “startup” family might emphasize risk-taking and creativity, while an “old money” family may focus on preservation and stewardship. Cultural and societal influences — such as religion, and national or regional origin — also play a key role in shaping authentic approaches to financial education that resonate with your children.
Money is a taboo topic in many households—
It’s essential to break this silence in the name of financial literacy. Engage your children in age-appropriate financial discussions early on, equipping them with the basic understanding that sets the stage for more complex conversations as they mature. Sharing your own financial journey offers invaluable lessons. Sharing stories of the struggles you faced, the risks you took, and the sacrifices you made provides real-world context for ongoing education. It instills values like perseverance and gratitude, and it reminds them that behind every fortune there is a story of perseverance worthy of their understanding and respect.
Actions speak louder than words—
Be genuine: Children are keen observers. Every action we take — from the way we treat service staff to how we handle business deals — gets absorbed. By displaying respect, honesty, and fairness in all dealings, our children learn how to conduct themselves in life.
Value experiences over things: It’s easy to indulge in the material pleasures wealth offers, but focusing on experiences—like learning new skills, or enjoying culture —enriches our lives in more profound ways than mere indulgence. Demonstrating a preference for meaningful experiences over transient pleasures helps children understand the lasting value of memories.
Stewardship of inherited wealth: Teach your children that inherited wealth is a responsibility as well as a privilege. Reinforce the idea that they are custodians of a legacy, responsible for preserving, growing, and leveraging their inheritance for the good of society and future generations.
Working with professionals—
Our children need help becoming responsible wealth owners.
A Registered Investment Adviser (RIA) can provide insights, help set realistic goals, and strategize for future growth. Encouraging our children to consult with experts helps them get a holistic view of wealth and fosters a mindset of continuous learning.
Because the world of finance is vast and intricate — encompassing everything from global markets to local tax regimes — professionals can help our children cut through the background noise and make informed decisions to mitigate risks and recognize opportunities.
By partnering with professionals, our children can weather financial storms — which are inevitable — with confidence, knowing that setbacks can be opportunities for renewal.
In short, getting professionals involved with your children’s financial education adds a layer of professionalism, ensuring that they are equipped to manage, grow, and use their wealth to enrich lives, including their own.
