I’m very focused on teaching my kids as much about finances and making money, and have been teaching them the financial knowledge that I know over they years.
On a whim of the moment, I decided to get my son a financial checkup to see how he has progressed. The following are the questions and results that he answered (his answers are in blue).
Getting Rich Questions:
1.) How did the rich get all of their money?
By having businesses and investments.
2.) Do you think you’ll be rich some day?
No, not really, just regular.
3.) Do you want to be rich?
Kind of.
4.) Do you think that rich people are rich because their family have been rich by making investments and owning businesses way back when?
No, some but not most
5.) What would it take from someone exactly like you to get rich someday?
Hard work, lots of hard work
6.) Do you think that everybody that is rich has a college degree?
Most, but not all.
7.) Do all rich people have fancy cars and houses?
No, not all of them.
Conclusion:
First, let me say that my son’s responses impressed me. I know that I’ve worked with him, but still some of his answers surprised me.
I’m a little concerned about his answer on question #2 “Do you think you’ll be rich some day?“. When he said that he doesn’t expect to be rich some day. From a probability perspective, he’s right, only a few actually ever become rich. But if you don’t try, your chances of becoming rich or well off decrease dramatically. By having knowledge on finances, you increase your odds of being rich just be being in the known. I know plenty of people who have made more money that I have but don’t have anywhere near the net worth that I have. So, question #2 is a takeaway action for me to work on.
Second, I’ll have to boost his confidence that he can be rich based on his answer to question number 3 “Do you want to be rich?“, I didn’t think it was possible either until I started reading financial books. Perhaps I can give him a leg up on this. That way he can start earlier.
Overall, I think I’m doing a good job with his financial education, I’m very please with the results of this little checkup! I’ll be doing future checkup and quizzes in the future just to get a reading on how I’m doing with my the financial teaching efforts.
MR
Children learn more from what you do versus what you attempt to teach them. Involve him in what you do and he may see the light. Keep asking him questions and help him develop the successful traits.
Good advice,. I think I will continue to quiz him.
It seems like he is doing pretty well, but he will learn more from your own example. Trying to give each project 100% will give him a leg up on many people no matter what he ends up doing with his life.
I’ve done little financial experiments with him in the past, and will continue to do so in the future.
I’m hoping my efforts will help him.
This was a check up? When happened last time you asked him these questions?
The checkup was on what I have taught him on the topic of finances.
My last checkup was about stocks. He forgot what I thought him, but that was a few years ago. He knew what it meant this time around…
have you ever read “Rich Dad Poor Dad”?
I read that book in my freshmen year in college, and I credit this book in shaping my career path and my feels about money and what it means to be rich. This book really opened my eyes and got me started on the path to becoming an entrepreneur and running my own business.
I think this book is quite controversial, but I tend to agree that our education system teaches kids to work for money and doesn’t teach them about how to make money work for them
i think its great you are having this kind of conversation with your kids. I wish my parents did not instead of always saying “be a doctor, be an engineer, be a lawyer. If you be anything else you will be broke your entire life and no one will want to marry you”
I like “Rich Dad Poor Dad” but I’m not so crazy about his other books. The book that made me believe it was possible is “The millionaire next door”.
Yeah, my parents had a similar conversation with me too… Times have changed 🙂
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Nice. How old is your son? Will you be quizzing him on other areas too?
He’s 11 years old.
Oh yes, this is just the start, I’m thinking about posting other questions and responses too in the future.
Good Answers. Seems he has a good head on his shoulders. I don’t think I knew what it took to be rich back when I was his age. I think I would have answered #2 similarly as a kid.
Yeah, I’m sure I wouldn’t have answered the way he answered either. I’m proud of him, he did much better than I expected.
Impressive answers to be so young. I know you said you weren’t too fond of Kiyosaki’s others works, but you might consider his book and/or website as they are both aimed at teaching kinds personal finance: Rich Kid, Smart Kid.
To me, its all about mindset. We are all programmed to an extent. The Millionaire Next Door helped to change your perspective, so now you can introduce him to a book, activity, concept, etc., that can do the same for him. Rock On!