Page 84 - Workbook2E

d A Financial Plan for the Young
“Dreams... lift us from the commonplace of life to better things.”
~ Henry Wadsworth Longfellow
80 Workbook 2: Improve Your Financial Life
“Dream Builder”—Your Financial Planner
Someone once said if we fail to plan, we plan to fail. To prepare the youth of America to face the complex and challenging times ahead, you must establish a plan to teach them and follow it. Parents need to train children in the principles of effective money management. It’s essential you give them a plan allowing them to thoroughly learn the skills and habits that prepare them to be successful. This section is a great Financial Planner for the young.
Never too early to learn healthy financial habits.
Just as your first steps down the road to financial freedom were to develop a financial philosophy and write down your financial plan—the same must be done with your children. The financial planner for the young or “Dream Builder” helps them identify and write down their goals. Some of these goals and wishes are important enough to be called “dreams;” like a college education, their own car, or even a small business.
Your Child’s “Dream Builder Register”
First give your child their first Dream Builder Register—much like your Spending Register. They’ll have seven specific steps to follow to achieve their plan. The Dream Builder encourages your children to plan their savings and spending—before they actually spend their money. This helps them learn and understand the steps to accomplishing their goals.
Your children record their income from various sources like gifts, chores, jobs, etc. Then Dream Builder teaches them to make a complete and accurate record of their spending. Finally, your children review and evaluate how they have handled their money, and can examine what they want to improve.