Top Three Takeaways on Inflation and Allowances w Kids: 1. It’s a Family Affair: Context matters In some families, big financial decisions are made together, taking everyone’s needs into account. @nbcnewsnow @morgankradford shared a memory of asking her dad about studying abroad in Spain during high school. Instead of just giving her a yes or no, he explained how much work it would take—how many weeks he’d have to earn to make it happen. Giving kids context like this can really help humanize financial discussions and teach them about the effort behind $ decisions. 2. Teaching Financial Literacy Through Self-Awareness A great question parents can ask to teach financial literacy is: How much does it cost to be you? @investopedia @calebsilver takes it a step further by asking: How much does it cost to be you in the future? This helps kids think about their long-term goals, values, and priorities, and understand how their financial decisions now can shape their future. 3. The Psychological Benefits of Allowances From a psychological perspective, @doctorsuevarma , psychiatrist and author of Practical Optimism, shares that giving your kids an allowance is a key chance to teach them valuable life skills like decision-making, problem-solving, and delayed gratification. It’s a powerful opportunity for empowerment, allowing them to make their own choices and experience the consequences—good or bad—under your guidance. This is their first real step toward adulthood, where they can make mistakes, learn from them, and build confidence along the way. #finance #goals #financialgoals #financialliteracy #optimism #practicaloptimism