Dollars and Sense

Last Friday, we (parents) organised a mini sale of food and drinks to the students in the school that Sean attends. Funds raised from this sale was donated to a foundation that helps pay the school fees of less fortunate children. A father approached me to say that he is opposed to taking money from the younger children (his daughter is 4). I told him bluntly that I had no qualms about taking money from a young child if it was for the sake of fund raising. Of course he was shocked and we had a debate as to what age should a child start being made aware of money and its value.

Many parents I know don't want their children to think about money (ie how hard one has to work to earn it, buying something within your means etc). They feel that money shouldn't be a topic that a child has to think about. As a result, I see many children who have no concept of the value of things and take getting money for granted. Sean has a classmate (he is 8) whose dad bought him a Mini. The real one not the matchbox kind. My eyes almost fell out of my head when his mum told me that. Does the boy realise the value of the car? Does he know how even some adults (OK, me) will not fork over that kind of money?

Living away from Singapore (and my real life as I like to say) and in BKK with expats who come with large allowances for car, housing etc, I am afraid that Sean will grow up thinking that all this is normal. Our friends live in big apartments or houses, everyone has a maid, almost everyone has a driver (some children have personal drivers) and all the children have some form of electronic game/gadget.

I don't use the old 'we are poor' line. We aren't poor. We aren't rich either and he has to know that. I tell him how we get money and it's not by going to the ATM that magically spits out money. I tell him that if he wants something, he has to earn it. If he loses something, he has to pay me back. He has had to pay 800 baht (S$40) when he lost his Tamagotchi in school after I specifically told him NOT to bring it. Did he learn a lesson? Sure. now, he thinks twice about bringing expensive toys to school.

When he was 3, I gave him 20 baht and took him to the supermarket. Told him he had to buy 1 item for that amount or less. The dad that I had a debate with argued that a child that age can't read or write yet. My arguement was that they were starting to learn to read and recognise numbers and should know how to read price tags. Did Sean manage to buy his sweet for 20 baht? Yes he did. Best of all, he felt proud that he was given the responsibility of picking out his own sweet and going to the cashier.

When he started learning addition and subtraction, I told him to buy 3 items for 100 baht or less. He had to make sure he received the correct amount in change. It went on from there and now that he is at the ripe old age of 8, he gets 130 baht a week and it is up to him whether he wants to buy a snack or save the money.

He is like Scrooge and saves. But I am happy to see that he willingly gives to people or animals in need (he has a fund called "Poor dog in need, please help").I like to think that I've helped him learn how to budget. I do not top up money for him if his purchase exceeds what he has.

He has progressed to currency exchange (very interested in that, asks loads of questions and hoards US$ because I told him it's the most widely accpeted currency). Recently has has started to ask questions about stocks and shares.

I do believe that adults underestimate children. We forget how smart they are and how quick they are to learn. They also like feeling that they are being given responsibility by handling money which is largely an adults area. So, will I take money from a child in exchange for food/drink? You betcha!