The following excerpt from our book: Investing in Your 401k Kid: From Zero to Little Financial Genius in Five Easy Steps is proof about how many opportunities there are for teaching kids about money:
Recently my son and I were shopping for new shoes. He had been managing his own money for a while and was really inspecting each pair for quality versus price. He knew from experience that the cheapest shoes weren’t usually the best idea in the long run.
As he was looking through the aisles, it was obvious there was another mom and son of nearly identical age also looking for shoes. It was not going well, which we could determine by the increasing volume of the conversation. The boy insisted on a pair of Nikes that the mom did not want to buy. She made good points: they were overkill for what he needed and he was likely to outgrow them within a few months.
Her son would not budge. Finally, he threw down the gauntlet, “If I cannot have these shoes, I am not getting any shoes!”
His mother’s defeated response: “But those shoes are $60!”
My son heard their conversation and, in the way boys often do, blurted out very loudly: “WOW! I wouldn’t spend $60 on a pair of shoes if they were made of gold!”
Mom and son quickly left the store – without the shoes.