Episode Details

Will your child be rich or poor?

If you're a parent or a grandparent or planning to become one, this show is for you.

I believe it's our job to teach our children good money habits.

And even if you're not planning to become a parent, Tom Corley and I will be discussing some important money lessons in this Rich Habits Poor habits podcast.

So let's talk about children….

Science shows that by the age of nine we have learned most of our habits.

These habits come from our parents. We mirror our parents thinking, habits, and emotions.

The beauty of rich habits is that you only need one or two of them to transform your life.

Habits like reading and exercising will change your future.

But emulating bad habits can force you into a situation where you have to eke out a living.

It gets even worse.

Sadly, 74% of children raised in a poor household had grades below a B and 34% had grades below a C.

Why?

Wealthy, successful parents teach their children certain success habits that give their children an edge in life.

These Rich Habits, which give them this edge in life, begins to manifest itself in the classroom and continues into the workplace, where such children become working adults who receive higher pay, bigger raises and larger bonuses during their working career.

As a consequence, they accumulate more wealth in life.

Will your child be Rich or Poor?

Every student wants to be successful and thinks they will be successful, but none have been taught by their parents or their school system how to be financially successful in life.

Not only are there no courses on basic financial success principles but there are no structured courses teaching basic financial literacy.

We are raising our children to be financially illiterate and to fail in life.

We don't have a wealth gap in this country we have a parent gap.

We don't have income inequality, we have parent inequality.

Parents and our schools need to work together to instill good daily success habits.

They need to be teaching children specific Rich Habits that lead to success.

Examples of Rich Habits:

• Limit TV, social media, video games and cell phone use to no more than one hour a day.
• Require that children read one non-fiction book a week and write a one-page summary of what they learned for their parents to review.
• Require children to aerobically exercise 20 – 30 minutes a day.
• Limit junk food to no more than 300 calories a day.
• Teach children to dream and to pursue their dreams. Have them write a script of their ideal, future life.
• Require that children set monthly, annual and long-term goals.
• Require working age children to work or volunteer at least ten hours a week.
• Require that children save at least 25% of their earnings or the monetary gifts they receive.
• Teach children the importance of calling family, friends, teachers, coaches, etc., on their birthday
• Teach children the importance of calling family, friends, teachers, coaches, etc. when anything good or bad happens in their lives. Examples include births, deaths, awards, illnesses, etc.
• Teach children to send thank you cards to individuals who helped them in any way. Reassure children that mistakes are good and not bad. Children need to understand that the very foundation of success is built upon the lessons we learn from our mistakes.
• Discipline children when they lose their temper, so they understand the consequence of not controlling th