Money Lessons Don’t Come Easy

Every evening my son and I read aloud several chapters from the Little House on the Prairie books. When I was his age, I fell in love with the TV show, wishing I was one of the Ingalls girls, even though the Olesons owned that great general store and could take candy whenever they wanted. But the hardships chronicled in the nine-book series have little in common with the watered-down television version. Even so, my son is enthralled by the Ingalls family’s tribulations. I figured reading the books would be a great lesson in appreciating all our present day comforts and the things we tend to take for granted.

A while back we read about Laura and Mary’s first experience going to school where they used slates and chalk instead of paper and pencils. My son asked about this and I explained that paper and pencils would’ve been a luxury to them. It wasn’t the first time it upset him to think of the girls without something he considers so basic. He said, “I’m lucky to have paper and pencils.” I was so proud he was embracing the lesson. He continued, “How would I write to Santa to tell him all the toys I want for Christmas?” Upon further contemplation he decided, “I guess I could use my computer.”

Okay, so maybe reading a few books won’t change his 21st century attitude, but we’re still trying. Last week I read in USA Today that a survey by T. Rowe Price found the average allowance kids get from their parents nowadays is $10.00 per week. Our son gets 75 cents per week. I showed the newspaper article to my husband, and we discussed whether or not we were being unfair to our son in giving him so much less than most kids were getting. We agreed to stick with the 75 cents and hide the article from him.

We first got the hint we were on the cheap end of the spectrum when he started losing his baby teeth and we asked around for the going rate. Apparently the tooth fairy is an uptown gal now. From my own informal survey of friends, she now gives out about $5 per tooth. Some of my friends’ children get a cool twenty. For that kind of money, after his baby teeth went, my son would be pulling out his permanent teeth, too.

The USA Today article didn’t state the average age of those money flush children. Maybe teenagers need $40 per month of expendable cash. At 7, my son isn’t making any runs nor buying himself the latest pair of high-end sneakers. After putting a third of his allowance into long-term savings, his 50 cents per week is his to spend (almost) as he wishes. This means by the time he saves up for something he wants, he thinks long and hard about it rather than making an impulse purchase. He has often decided he doesn’t need it after all. So he is learning something, although it still doesn’t keep him from wishing we would buy it for him.

Learning financial responsibility is an ongoing process for all of us. Sometimes you make good decisions, sometimes you spend money where you shouldn’t. I’ve had to look at my own spending habits in realizing that I’m a role model for him. As much as I’d love for him to fully appreciate the difference between wants and needs, I can’t expect more from him than I do from myself. That’s why I’ve convinced him that yes, Ma Ingalls would’ve spent $3.00 every day on a latte if Mr. Oleson had owned a Starbucks.

As I said, it’s an ongoing process for all of us.