How to manage money – it’s not the birds and the bees, but it is still an important thing for young people to learn. And it turns out parents are helping but not helping their kids at the same time.
A report prepared by CIBC says you really can’t start too early when helping children understand the in and outs of money management. And we’re making headway on that count, apparently.
The average age for a child to begin receiving an allowance is nine. It used to be 10 when their parents were young. Kids today open their first bank account at age 10. Their parents didn’t get one until two years later. And today’s young people start managing their own money at age 14, compared to 16 for the previous generation.
Today’s parents fret that their kids will have money management troubles because the high cost of living means they can’t make any mistakes. Yet, three-quarters of the parents surveyed said they don’t discuss financial matters as a family. More than 90 per cent said they could be better role models by managing their money more effectively.