What Should You Teach Your Three Year Old About Money?

Here we have the world's cutest four year old, three year old and 7 month old! But what should they be learning about money right now?

So how do you raise a kid that owns his car, debt free, owes no credit card debt and has a 760 FICO score upon graduating from college (no student loan debt) at the tender age of 22? We've been able to raise a kid (or two or five) that are financially fit. We still have some at home that we're working on! But you can raise financially literate kids, too!

It starts with a "Fiscal Report Card" and checking off what they need to know at various ages. Here's a partial report card you can review and if you want the full version (for free) just email assistant@elliekay.com and put "Fiscal Report Card" in the subject line.

Youngsters

Age 2 to 4
• Picks up toys cheerfully
• Is on a schedule for sleep, play, and work (or school)

Age 4 to 6
• Makes bed in a basic way (not necessarily neat)
• Picks up room regularly
• Brings clothes to hamper
• Knows how to set and clear the table
• Knows how to take out the trash


Middlers

Ages 7 to 10
• Knows how to sort laundry into whites, coloreds and darks
• Can fold laundry and put it in everyone's room
• Is given an allowance
• Has a savings account at home and at a bank
• Manages a fun kid budget (restaurant, zoo, amusement park, etc)


Ages 11 to 12
• Begins to do additional "jobs" for hire within the home and occasionally for friends or family.
• Has a savings account with at least $200 to $250 in it.
• Is learning the meaning of delayed gratification
• Can save up for half of a larger ticket item they want (bike, skates, video game, etc)
• Is regularly contributing to a community organization either through volunteer hours or donating goods (clothing, toys, money)

Teens

Ages 13 to 15
• Can manage and balance their own checkbook with supervision
• Has enough in savings to take out $200 to $300 to start a mutual fund
• Is able to do outside jobs for hire among approved "employers" in the neighborhood
• Regularly pays for outings (movies, theme parks, etc)
• Is saving for a vehicle
• Is aware of the fact their grades in high school will impact their ability to get into college and earn scholarships for college


Age 16 to 20• Can balance a checkbook without supervision
• Has an additional credit card (on parents account) and can use it responsibly
• Can manage and balance a clothing budget and personal financial budget
• Regularly works inside and outside of the home during breaks from school
• Has paid for 1/3 to 1/2 of the cost of their car
• Maintains a good GPA (or what they are capable of)
• Has a regular volunteer position (hospital, coaching, church involvement, etc)
• Can use social media to learn ways to save money

What are you doing with your kids that is working? Let me hear from you!

Ellie Kay
America's Family Financial Expert (R)

Don't Mess With Mom

I'm no political expert, I'm a financial chick. But I have to say that the news of Sarah Palin tends to bring out the power of mom--no matter what your political leanings. Strong women are rising to the top of their fields and mom power is also on the upswing. Essentially, we are seeing in the media what strong women have known all along--you don't mess with mom.

In fact, this may very well be the year of the power mom.

I was interviewed on a professional and personal level for a story at CreditCards.com entitled "Pregnancy or Paying Down Debt: How to Fit A Baby Into Your Financial Future." http://www.creditcards.com/credit-card-news/pay-off-debt-before-baby-dilemma-1267.php The gist of the story is whether you should get your finances in tip top shape before you make the decision to have a baby.

I didn't really have the luxury of that decision initially, because I married a good guy and instantly got two bonus babies, who were six and eight. While they were not with us full time, we were still privileged to be financially responsible for their well being. Then I had five surprise, surprise pregancies in seven years for a total of seven children. I left my job as a broker and became broke because I also inherited $40K in debt. But being broke wasn't my destiny. I knew it was just for a season.

We paid down debt on one income and never regretted having a single one of those children. (Although there were days when I would have traded ALL of them for a good night's sleep). In fact, I discovered a hidden purpose in the midst of motherhood--the power of mom. Strong women can take the organizational and sanity skills necessary to cope with kids, debt and other problems and use those skills in other areas. In my case, I was able to create a thriving business by leveraging a professional and educational background with the practical and personal aspect of what it means to use creativity, business acuity and common sense to pay down debt and build wealth. In essence, the power of mom.

So whether you're a mother of one, four, or more--don't be shy about pursuing your passion. Live each season to the fullest--whether you're at home or at work. Don't apologize for your choices and let the world know that you don't mess with mom!

Ellie Kay
America's Family Financial Expert (R)
http://www.elliekay.com/

Baby Wipes - Tell Your Friends!

Babies! I LOVE babies!

When I married my husband, Bob, I got a "three for one" deal that included a great guy--and two babies.Step-daughters, that is...add five more babies in seven years and you get a total of seven! Now, thanks to that original "three for one" deal, I'm a grandma (should I say step-grandma? I'm not old enough to be a grandma!). We have an adventurous grandson and a beautiful baby girl (who has Bob's eyes). One of the tips that helped Bob and I so much when we had all those babies (and three in diapers at once) was my homemade baby wipes recipe. I get more requests for the following recipe than I do for practically any other resource.

I know that it can save the average family about $300 a year and you know that the ingredients are safe. Plus, it's eco-friendly as well because you don't have to keep discarding baby wipe packaging! So share this with your friends, family and everyone who loves babies!

Ellie Kay's Baby Wipe Recipe (C) 2008

1 Round plastic container with lid (about 6 inches tall and wide enough to accommodate 1/2 roll of paper towels)
1 Roll of heavy-duty paper towels (no cheap store brands)
4 Tablespoons baby oil
4 Tablespoons baby shampoo
4 Tablespoons baby bath
1 to 2 cups of water (depending on the absorbency of the towel)

Cut a small X (about an inch long) in the plastic lid of the container. Cut the paper towels in half to make two short rolls of towels. Use one and save one. Put the first three ingredients in the bottom of the container and add one cup of water. Stir well. Place the paper towel, cut side up, in the water for a few minutes. Then turn it over, cut side down, to let the other side absorb the liquid. Let sit for five minutes. If the roll of paper towel still has dry portions on it, then keeping adding water, ½ cup at a time, at five minute intervals, until towels are completely damp (not dripping, just damp). After the center of the paper towel tube is wet, gently pull it out of the center of the towels. Pull the towels from the center, and thread through the X in the lid of the plastic container. Seal. Will keep fresh for up to one month.

Ellie Kay

America's Family Financial Expert (R)

www.elliekay.com

Diapering on the Cheap

A new dad watched his eight week old daughter for the first time while his wife attended a women’s conference. When she returned, six hours later, she was eager to learn how he fared in her absence.
“How did she take her bottles?” she asked.
“Just fine, no problem, she took one every two hours for a total of three,” replied the confident father.
“How many times did you change her diaper?” she queried.
“I never changed it” he responded.
“You never changed her diaper?” she asked incredulously, “Why not?”
“Well,” he reasoned, “the diaper package said that it was good up to ten pounds and we weren’t even near the ten pound point.”

~********~

Diapers are a major expense in a family’s budget and yet there are ways to save money in this area that are fairly painless.

Coupons – Your mother may have told you “buy items on sale and use a coupon.” That’s still good advice. But where do you find coupons on your favorite diapers?
· Manufacturer’s Website – If you sign into these sites to receive their promotional offers, you can also get coupons. A few of the most popular websites for diaper manufacturers are: http://www.huggies.com/, http://www.pampers.com/ , and http://www.luvs.com/ . For a variety of baby coupons go to http://www.momsview.com/ or http://www.freebabycoupons.com/ .

· Toll Free Numbers – Call the diaper manufacturer’s toll free number, tell them how much you like their product, and ask them for coupon promotions. For instance, 1-800-PAMPERS or 1-800- NO LEAKS (Luvs)

Internet Diaper Sites – There are some sites that will ship diapers at a discount. It’s important to add postage and handling to the final cost and to check out the site with the Better Business Bureau found at http://www.bbb.com/ . For example, at http://www.diaperdandy.com/ we discovered 192 medium diapers for $33.00 plus $6.92 shipping.

Ebay – You can find almost anything at ebay. We found 180 medium diapers for $29.99 with free postage and handling and 140 newborn diapers for $14.50 + $5.00 P&H. Be sure the diapers are in their original package and are unopened. Also, be sure to factor in shipping (if any) and choose a seller who has high feedback ratings with a reasonable number of total reviews.

Happy Diapering!

Ellie Kay

America's Family Financial Expert (R)

http://www.elliekay.com/