Ramat Oyetunji, who retired at 44, began teaching her daughter about money at an early age. At age 9, her daughter earned money by cleaning cars in their neighborhood, saving her earnings, and co-publishing a book on money with her mom. Oyetunji, who moved to the US from Nigeria at 20 to pursue mechanical engineering, believes financial literacy from a young age is a pathway to generational wealth.
Oyetunji’s approach includes daily practical lessons like budgeting her daughter’s allowance and helping her understand investments through activities she enjoys, such as playing video games. She explains how investing in game publishers connects to real-world stocks. Brennan Schlagbaum, another FIRE parent, has taken a proactive approach to his one- and three-year-old daughters’ financial futures.
He and his wife Erin opened educational savings accounts and brokerage accounts for their children before they were even born. They contribute $250 monthly to each account, intending to cover a portion of their college education and give them a head start in adult life. Schlagbaum emphasizes the importance of financial responsibility, ensuring his daughters understand the value of contributing to their own education and future endeavors.
He’s already introducing them to financial concepts despite their young age, laying the groundwork for informed financial decisions later in life.
Teaching financial literacy to kids
For Cha’Lea Stafford, who grew up with financial hardships, teaching her children about money is both a personal mission and a way to break the cycle of economic struggle.
Her entrepreneurial spirit has inspired her two sons, who have started their own small businesses. Stafford’s sons view wealth as a tool, not just a number, thanks to her guidance and example. Susan Cesarini, who retired with a seven-figure net worth, emphasizes the importance of understanding the value of a dollar.
She now spends time educating her grandchildren about financial topics. From teaching them about compound interest to taking them to thrift stores, Cesarini aims to instill financial acumen in her grandchildren, ensuring they are better prepared for the future. Susan Hirshman, director of wealth management for Schwab Wealth Advisory, advises parents to introduce financial lessons through simple, practical ways.
Daily life offers numerous opportunities to teach important money management skills, from setting savings goals to budgeting for family activities. These hands-on experiences help children build confidence and set the stage for smart financial decisions in their adulthood. FIRE parents are not only working towards their financial independence but also ensuring their children are equipped with the tools and knowledge to navigate the financial world.
Through practical lessons and leading by example, they aim to foster a generation that values financial literacy and independence.
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