Introduction

      In addition to being chefs, therapists, nurses, chauffeurs, and more, parents are inevitably teachers, despite most of us not having a degree in education (or for that matter, in any of these professions). For so many facets of parenthood, there is no guidebook or instruction manual. As parents, we tend to focus most of our energies on the emotional and physical wellbeing of our children. I propose we must also focus on their financial wellbeing.

      Children are extraordinary learners from a very young age. They master concepts, language, walking, negotiating, and more in just their first few years. Yet we typically don't engage our children in learning about financial matters until much later in life, if ever. This is a mistake. In fact, perhaps because of this mistake, many parents never truly become knowledgeable about basic finances, let alone master their own.

      According to the Consumer Financial Protection Bureau, “financial wellbeing” is defined as “a state of being wherein you have control over day-to-day, month-to-month finances; have the capacity to absorb a financial shock; are on track to meet your financial goals; and have the financial freedom to make the choices that allow you to enjoy life.” My definition of financial wellbeing is much simpler. Financial wellbeing is a state of clarity, purpose, and direction; it is not separate from your personal wellbeing, in fact, financial wellbeing is inextricably intertwined with your overall health. We must begin to incorporate all aspects of wellbeing into our daily lives: emotional, physical, and financial, in order to optimize our personal health. And it must begin at a very young age.

      As someone with a career in finance, I want to help you have important conversations and experiences about money with your children. Recognizing and making the most of “teachable moments” as they present themselves can help shape your children's future attitudes and behavior around their finances and give them a sense of financial wellbeing. After all, parenting is, if nothing else, teaching our children to make smart choices that allow them to enjoy life.

I have a son of my own, Jacob. My husband, Bernie, and I have worked hard to lay the groundwork to help him create smart and healthy financial habits. Starting when he played with a toy cash register as a toddler, I tried to teach him how credit cards work. He was too young to fully grasp the lesson then, but our conversations about money evolve as he grows up. I wish I had the same open communication with my own parents when I was a kid. Instead, I grew up like many children of my generation where money was a taboo topic in our house. When I asked my parents about their salaries, I was told I was being crass and inappropriate. It made me feel that money was bad, something never to discuss. It took me years to correct this negative association. Never forgetting how that made me feel, I want to make sure that Jacob knows only