Originally Posted by Pea-n-Me
The more I think about it, how you grew up probably does have a lot to do with it. Not just whether your family talked to you about it, but how finances actually worked in your home. For kids who grew up really struggling, perhaps it was more anxiety provoking not to know, than to know- depending on their ages. I mean, if the electricity is off, it's clear there's a problem. No food in the house? Yup, big problem. Allowing them to know can give them the opportunity to become part of the solution, maybe.
I think that makes a lot of sense. My daughter is reading a lot about the Great Depression right now and has asked me several times whether we are in danger of losing our house and if we've remembered to pay our property taxes, because she knows that people had lost their houses in the Great Depression. After assuring her that the mortgage and taxes are all set, she was absolutely SHOCKED when I told her that she has essentially lived through a period of time not that far off of what the Great Depression was like for many people, as her life was never impacted in any meaningful way nor does she know anybody personally whose family is struggling.
We do talk budget with her in terms that make sense to her, as that's more real than our salaries and other income. For example, we have discussed what it costs to take care of her guinea pigs each month, and help her realize how it adds up over a year (especially when we need to hire a pet sitter to take care of them when we travel), as that is an important lesson in my opinion.