The Money Mindset Mob

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Single parent financial advice from Stuart Fleming. Do you and your teenager treat money in the same way? Or do you clash over what seem to be simple differences of financial opinion?

Do you and your teenager treat money in the same way? Or do you clash over what seem to be simple differences of financial opinion?

You may have different Money Mindsets!

Thanks to a combination of nature and nurture, plus our own rules, beliefs and experiences around money, we each have a unique mindset when it comes to money. Much like the locals talking a different language when you visit a foreign country, someone else’s Money Mindset can be difficult to fathom.

Which of the Money Mindset MobTM sounds like you?

Ashley Stasher

What Ashley loves most about being a Stasher is having money when others don’t have any, and watching her bank-balance grow.

She finds it difficult deciding to buy something she really wants, and would never, ever buy the first pair of new jeans she tries on.

Ashley often has a Stasher-like dream of playing Scrooge McDuck in a Disney movie, just for the chance to dive into a vault of cash.

If your teen is an Ashley Stasher:

1. Acknowledge how skilled Ashley is at keeping track of and saving her money. Tell her so!

2. Suggest she keeps a little bit of money aside for impulse treats with her friends. Explain how much fun an unplanned ice-cream can be.

3. Use her eye-for-a-bargain and comparison-shopping techniques for larger household purchases. (She’ll find the best refinancing deal on your mortgage!)

4. Ask her what she would like to do with her fortune – how would she like to help others?

Splurger Spike

As a Splurger, Spike spends his money and has lots of fun doing so. He never seems to have enough money and rarely has any saved in the bank.

With cash in his hand, Spike can be overwhelmed by the available options – where should he start spending?

You’ll often hear Splurgers say “I hate budgets!” and they would never dream of calculating their bank fees or credit card interest.

If your teen is a Splurger Spike

1. Acknowledge how much fun Spike has with his money. If appropriate, highlight how generous and charitable he is with it.

2. Ask him what he would do if he had limitless resources. Get him imagining a future where he could spend all he wanted from a financially secure foundation.

3. Help Spike calculate how much more he could spend on himself if he doesn’t ‘waste’ money unnecessarily on consumer debt. Highlight the ‘money down the drain’ component, in terms he understands, eg. “You’re paying three computer games of credit card interest each month.”

4. Ask him if he would prefer to buy a $50 pair of shoes (which will last him 6 months) or a $100 pair (which will last him 18 months), to see whether he has a grasp of ‘lifetime cost’. This equates to more money to spend in the long term!

Scaredy-cat Pat

Pat has never had a good grasp on money and how it can benefit her. She is timidly caught between conflicting beliefs around money.

She rides a financial rollercoaster, alternating from having ‘too much’ (“I don’t deserve to be rich!”) and having ‘too little’ (“I’m capable of more than this!”).

The thought of winning the lottery frightens Scaredy-cats, as does going bankrupt. Pat longs for the confidence of Streetwise Mike, but doesn’t have a clue how to achieve it.

If your teen is a Scaredy-cat Pat

1. Tread gently – don’t go in guns blazing expecting Pat to embrace your ‘money teachings’ with open arms.

2. Talk about money in everyday conversation. Don’t treat it as a taboo subject.

3. Give Pat opportunities to use money – grocery shopping for the family, buying her own clothes, managing an allowance… and tell her when she’s using it well.

4. Reinforce for her that there will be enough money, that she’s capable of earning as much as she wants, and having money doesn’t make her a bad person.

Streetwise Mike

Even though Mike doesn’t like mathematics, he knows his numbers. He divides his income into building wealth, donating, saving and caps his spending.

Streetwise mindsets balance their ‘fun right now’ with ‘security for tomorrow’, no matter how much they earn. Mike knows where to learn more about money and wealth.

“Money is just a tool and there is more than enough for everyone,” is a Streetwise thing to say.

If your teen is a Streetwise Mike

1. If you are one of the other Mindsets, you could probably learn stuff about money from Mike!

2. Who in your neighbourhood, workplace or family could you introduce Mike to, for him to learn more about investing and wealth creation?

3. Encourage him to follow his passion instead of blindly heading down the road of ‘traditional success’: car, condo, cash and corner office.

4. Discuss with Mike what he would like to do with his wealth. How does he see himself using his natural talents and interests to leverage his value?

Could you see yourself in these descriptions? Can you see your teen having the same Money Mindset, or a different one?

Helping your teenager understand their natural Money Mindset is key to them building a sound financial future. Have fun with it!

Richard JaramilloRichard “RJ” Jaramillo, is the Founder of SingleDad.com,
a website and social media resource dedicated to single parenting and specifically for the newly divorced, re-married, widowed and single Father with children.
RJ is self employed, entrepreneur living in San Diego and a father of three children. The mission of SingleDad is to help the community of Single Parents
“Make Life Happen…Again!”

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Richard “RJ” Jaramillo, is the Founder of SingleDad.com, a website and social media resource dedicated to single parenting and specifically for the newly divorced, re-married, widowed and single Father with children. RJ is self employed, entrepreneur living in San Diego and a father of three children. The mission of SingleDad is to help the community of Single Parents “Make Life Happen…Again!”