It’s one of those topics that seem to be taboo. Just as we’re not supposed to talk about religion or politics at a dinner party, it seems talking about family finances is a difficult subject for parents to advance with their children.
That means the kids have little choice but to try to learn about financial matters by osmosis – simply watching how mom or dad do things.
And therein lies the rub, according to a study commissioned by TD Canada Trust. It found that one-in-three Canadians feel they are setting an unhealthy example for the next generation.
We’re just a couple weeks away from Financial Literacy Month, the reason the bank undertook this survey. The data revealed that only 10-percent of families believe their financial health is ‘excellent’ while nearly half admitted they don’t have a budget so it is difficult if not impossible to know if they’re on track.
The bank says its advisors can help prepare parents to have the ‘talk’ with their children covering subjects ranging from needs-versus-wants to the allowance and money management.