A Parent’s Guide to Teaching Kids About Money: Lessons from Hall of Famer Jason Taylor

4 MIN. READ

A Parent’s Guide to Teaching Kids About Money: Lessons from Hall of Famer Jason Taylor

In today's fast-paced world, financial literacy is an essential skill that can set children up for a lifetime of success. Hall of Famer Jason Taylor, who has achieved remarkable success on and off the football field, knows the importance of teaching kids about money early. In a recent conversation, he shared some valuable insights for parents on how he imparts financial wisdom to his children. His advice offers practical strategies that every parent can use to help their kids develop sound money habits.

Actions Speak Louder Than Words

Taylor's first piece of advice is simple yet powerful: "What you do speaks so loudly they can't hear what you're saying." This statement underscores the importance of leading by example when it comes to teaching kids about money. Children are incredibly observant, and they learn more from what they see their parents do than from what they are told. If you want your children to make sound financial decisions, it's crucial that you demonstrate those behaviors yourself.

For instance, if you regularly save money, budget carefully, and make smart investments, your children will likely follow suit. On the other hand, if you frequently make impulsive purchases or neglect to save, they may adopt those habits as well. The lesson here is clear: be the financial role model you want your children to emulate.
 

Teach the Value of Delayed Gratification

One of the key concepts Taylor emphasizes is the importance of delayed gratification. He teaches his children that if they don't need something today, it's okay to wait until tomorrow, next week, or even next year. This approach helps his children understand that money doesn't need to be spent as soon as it is received. Instead, it can be saved for something more meaningful or necessary in the future.

By encouraging kids to think before they spend, parents can help them develop a mindset that values saving over instant gratification. This lesson is particularly relevant in today's consumer-driven society, where the pressure to spend is constant. Teaching children to wait and consider their purchases carefully can lead to more thoughtful and responsible financial behavior as they grow older.
 

Make It Hurt: The Importance of Feeling the Cost

Another crucial lesson Taylor shares is the importance of making financial decisions feel real to children. He suggests that parents make their kids "feel the hurt" when they spend money. For example, if a child wants a new pair of shoes or a toy, Taylor advises to let them pay for it with their own money. When children use their own funds, they begin to understand the true cost of their desires and become more discerning about what they choose to spend on.

Taylor explains that this is one reason he still writes paper checks. Unlike autopay, which can feel abstract and disconnected, writing a check requires a physical action that reinforces the idea that money is something tangible, earned through hard work. When children see their balance decrease as they write a check, they begin to appreciate the value of money and the effort it takes to earn it. This lesson can instill a sense of responsibility and caution in their spending habits.
 

The Bigger Picture: Financial Literacy as a Life Skill

Ultimately, the advice Jason Taylor offers is about more than just managing money—it's about teaching children life skills that will serve them well into adulthood. Financial literacy is not just about knowing how to save or invest; it's about understanding the value of money, the consequences of financial decisions, and the importance of planning for the future.

By leading by example, teaching delayed gratification, and making the cost of spending feel real, parents can give their children the tools they need to navigate the complex world of finance. These lessons will not only help them manage their money wisely but also prepare them to face the challenges and opportunities that life will inevitably present.

Incorporating these strategies into your parenting approach can have a lasting impact on your child's financial future. As Jason Taylor's experience shows, the lessons learned early in life can pave the way for a successful and financially secure future.
 

Power Financial Credit Union is Here for You

It’s never too early to teach your kids about financial responsibility. At Power Financial Credit Union, we want to help reshape the way children think of savings and money management, while also offering parents an easier way to teach their kids about finances.

Our Youth Accounts are the perfect way to start your kids on the road to financial success. We have also partnered with Greenlight to offer the loved financial education app and debit card for kids and teens to our members for free. Get in touch with us to learn more about how we help families.