I live in a town where we have five colleges within five miles. I get to meet a lot of students and one of my questions to them is about student loans. I am REALLY surprised how many students have LARGE loans without a true understanding what that means to them and their future.
‘Children will spend over 14,000 hours in school through the 12th grade. But in school there won’t be anyone teaching them how to balance a checkbook, how to save and invest money or how to make wise purchases.
Most likely they will pick up most of their habits and ideas about money from their parents. Mix those habits with the constant stream of consumerism from the media and a child has just been groomed to fail financially. Before they even think about higher education, student loans, home mortgages or retirement they are already being groomed to fall flat on their face.
The worst part is often, most parents hide their true financial status from their kids. So not only do many families have possible bad habits, but now they are hiding them and giving children a false view of finances.
Parents have to be aware that they have one of the most important leadership positions of all. They are grooming the minds of the next generation! In fact, even if you aren’t a parent… you might be a teacher, a nanny, a pediatrician, a coach, a pastor or anyone who has frequent interaction with today’s youth.
Some might be freaking out a little that the damage is done – but it isn’t too late! The truth is, parents probably inherited your mindset on money from their parents. But don’t panic… you have total control over changing it! You have total control over influencing your children and children in your life.
We need to stop hiding the truth of constantly fighting about finances! This is big-time stuff that children need to know and it’s never too early to start including your kids. Let’s do what we can to help groom the next generation for success.’ (modified excerpt from DaniJohnson)
As children are taking out student loans they need to have leaders in their life to help them understand the profound consequences of graduating with $100,000 or $200,000 or YES, I have talked with students under the age of 24 who will have $300,000 of student loan debt.
The next generation needs solid financial advice and it begins with us…
Today’s Life Agreement:
Be a Leader in your family & community. Look in the mirror and commit to a plan to get rid of your debt so you can help the next generation do the same.
Happy President’s Day.