Comments on: The Youth Personal Finance Challenge: beyond texting, surfing and raging hormones http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/ A Personal Finance Blog by Ma. Salve Duplito Sat, 09 Jan 2010 04:03:51 -0700 http://wordpress.org/?v=2.8 hourly 1 By: Rose http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-130 Rose Sat, 09 Jan 2010 04:03:51 +0000 http://moneystories.ph/?p=32#comment-130 Hi Salve. Nice to chance upon your "new home" today. Last night Anton (remember my youngest son?) was just excitedly telling us about his total assets (remember this term surprised Pia last year when they appeared in her show?) as of Dec 31, 2009 after he updated his Balance Sheet. Imagine it has been a year since that time? Your baby must be big by now. Anyway, Anton is very happy with his portfolio which is heavy on stocks because of the fantastic rise in the market last year. He is following what I shared with him when I read a book by David Bach that our stocks should comprise the bigger chunk of our portfolio while we are young. His proposed formula is 110 minus age = equity holdings so since my son just turned 13 that's a whopping 97%. I once asked him, "Don't you think your portfolio is too risky?" He answered, "No, you and Papa always say stocks are long term assets and since I'm still very young I can afford to wait it out. When my portfolio goes down now, my lifestyle will still be the same. It is when your portfolio goes down that my lifestyle will change, right?" :-) Happy New Year to you and your family! Hi Salve. Nice to chance upon your “new home” today. Last night Anton (remember my youngest son?) was just excitedly telling us about his total assets (remember this term surprised Pia last year when they appeared in her show?) as of Dec 31, 2009 after he updated his Balance Sheet. Imagine it has been a year since that time? Your baby must be big by now. Anyway, Anton is very happy with his portfolio which is heavy on stocks because of the fantastic rise in the market last year. He is following what I shared with him when I read a book by David Bach that our stocks should comprise the bigger chunk of our portfolio while we are young. His proposed formula is 110 minus age = equity holdings so since my son just turned 13 that’s a whopping 97%. I once asked him, “Don’t you think your portfolio is too risky?” He answered, “No, you and Papa always say stocks are long term assets and since I’m still very young I can afford to wait it out. When my portfolio goes down now, my lifestyle will still be the same. It is when your portfolio goes down that my lifestyle will change, right?” :-)

Happy New Year to you and your family!

]]> By: Teejay http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-110 Teejay Thu, 24 Sep 2009 01:05:36 +0000 http://moneystories.ph/?p=32#comment-110 Another thing I would do when I have a child would be to give him the chance to earn more money. This not to abuse the child but to teach him the value of working and achieving a reward. Another thing I would do when I have a child would be to give him the chance to earn more money. This not to abuse the child but to teach him the value of working and achieving a reward.

]]> By: Issa@youwanttoberich.com http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-107 Issa@youwanttoberich.com Thu, 20 Aug 2009 07:05:41 +0000 http://moneystories.ph/?p=32#comment-107 Hi Salve! I am thinking of ways to make my daughter save and impress upon her the importance of being financially savvy - but she gives me this look - haha - well, she is just 8, after all. She did have a fun time caroling last Christmas and earning (earning!) from that so maybe there is hope. I guess getting children into activities where they will earn money is good. I will try also your tips and your readers' tips above. Thanks for this post! Hi Salve! I am thinking of ways to make my daughter save and impress upon her the importance of being financially savvy – but she gives me this look – haha – well, she is just 8, after all. She did have a fun time caroling last Christmas and earning (earning!) from that so maybe there is hope. I guess getting children into activities where they will earn money is good. I will try also your tips and your readers’ tips above. Thanks for this post!

]]> By: Karen http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-92 Karen Fri, 24 Jul 2009 01:00:29 +0000 http://moneystories.ph/?p=32#comment-92 Hi Salve! Re no. 5 above, I've done the first four steps with my 14-year-old son. His UITF went down by 40 percent last year, and he blamed me for my "poor financial decision." haha! Global financial meltdown kaya. Online stock market account -- maybe soon. :-) Hi Salve! Re no. 5 above, I’ve done the first four steps with my 14-year-old son. His UITF went down by 40 percent last year, and he blamed me for my “poor financial decision.” haha! Global financial meltdown kaya. Online stock market account — maybe soon. :-)

]]> By: hachiko http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-91 hachiko Thu, 23 Jul 2009 11:46:25 +0000 http://moneystories.ph/?p=32#comment-91 Salve share ko lang ito. British kids interviewed about money matters. So funny and smart-alecky! :D http://news.bbc.co.uk/2/hi/business/8159985.stm Is it easy to save money? - I think it is hard to save up money, because you have to be good and that is really complicated for me. I have to make my bed, wash up and all that, but sometimes I can't be bothered so I don't get any money. How much does a house cost? - I would pay £3,000 for a big house, £2,000 for a middle-size house, and £1,000 for a bungalow. Do you know an average house costs about £150,000? - Now I know why my mum keeps on saying that we are poor! If you had £1m, what would you do with it? - I would drive to London, earn another £1m, then I would pay the Queen for her house. She can live in my old house. If you had children but not enough money to feed them, what would you do? - I'd make sure I looked good so I could get a very rich husband who could pay for things. Salve share ko lang ito. British kids interviewed about money matters. So funny and smart-alecky! :D http://news.bbc.co.uk/2/hi/business/8159985.stm

Is it easy to save money?
- I think it is hard to save up money, because you have to be good and that is really complicated for me. I have to make my bed, wash up and all that, but sometimes I can’t be bothered so I don’t get any money.

How much does a house cost?
- I would pay £3,000 for a big house, £2,000 for a middle-size house, and £1,000 for a bungalow.

Do you know an average house costs about £150,000?
- Now I know why my mum keeps on saying that we are poor!

If you had £1m, what would you do with it?
- I would drive to London, earn another £1m, then I would pay the Queen for her house. She can live in my old house.

If you had children but not enough money to feed them, what would you do?
- I’d make sure I looked good so I could get a very rich husband who could pay for things.

]]> By: salve http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-84 salve Wed, 22 Jul 2009 10:52:17 +0000 http://moneystories.ph/?p=32#comment-84 hi marlu! you're very kind :). it would also be nice to know how different is the experience for mothers like you who have migrated to the US versus staying here, in terms of the challenges in raising money-smart kids! hi marlu! you’re very kind :) . it would also be nice to know how different is the experience for mothers like you who have migrated to the US versus staying here, in terms of the challenges in raising money-smart kids!

]]> By: ALVIN T. TABANAG, RFP http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-82 ALVIN T. TABANAG, RFP Wed, 22 Jul 2009 05:31:14 +0000 http://moneystories.ph/?p=32#comment-82 Hi, Salve. I think I have a <b>PhD in Repitition</b>. I say rules, regulations, procedures, snippets of wisdom, etc. over and over and over and over until it is permanently etched in my daughter's consciousness. And I will never tire of doing it; I'll do it even in my sleep. Anyway, here are two other tips which can help children be more responsible managers of their money: <b>1. Let them budget their money.</b> Instead of giving their allowance on a daily basis, make it weekly or monthly. If money is replenished daily there's no compulsion for children to save money. <i>"Ok lang maubos, bibigyan naman uli ako ng baon bukas,"</i> they will say. Giving them a weekly or monthly allowance will force them to manage their money properly and help them resist the temptation to overspend in the first few days. They will become more conscious of what they're spending on. <b>2. Implement a "matched savings" program.</b> To encourage my daughter to save more, we match whatever savings she has at the end of the week. If she has P100 left, we give another P100 for a total savings of P200 for the week. <i>Ngayon napaka-wais na ng anak ko sa paggastos ng allowance nya.</i> She's saving 30-50% (occasionally, even more) of her weekly allowance. Hi, Salve. I think I have a PhD in Repitition. I say rules, regulations, procedures, snippets of wisdom, etc. over and over and over and over until it is permanently etched in my daughter’s consciousness. And I will never tire of doing it; I’ll do it even in my sleep.

Anyway, here are two other tips which can help children be more responsible managers of their money:

1. Let them budget their money. Instead of giving their allowance on a daily basis, make it weekly or monthly. If money is replenished daily there’s no compulsion for children to save money. “Ok lang maubos, bibigyan naman uli ako ng baon bukas,” they will say. Giving them a weekly or monthly allowance will force them to manage their money properly and help them resist the temptation to overspend in the first few days. They will become more conscious of what they’re spending on.

2. Implement a “matched savings” program. To encourage my daughter to save more, we match whatever savings she has at the end of the week. If she has P100 left, we give another P100 for a total savings of P200 for the week. Ngayon napaka-wais na ng anak ko sa paggastos ng allowance nya. She’s saving 30-50% (occasionally, even more) of her weekly allowance.

]]> By: Marlu http://moneystories.ph/2009/07/20/the-youth-personal-finance-challenge-beyond-texting-surfing-and-raging-hormones/comment-page-1/#comment-79 Marlu Tue, 21 Jul 2009 05:44:12 +0000 http://moneystories.ph/?p=32#comment-79 Hi Salve, Shame on me that even if I am much older than you and have raised 5 sons, I must admit that I learned from your very practical conclusions. I will take your advice for my youngest son who is 16 years old. I just gave allowances to my children and it was up to them on how to spend it. But when I was young, I was taught on how to save starting with a piggy bank and then my mother opened a savings account for me. I would also go to the bank with her, see her safety deposit box also, and I was exposed to financial matters. I forgot to pass it on to my children. Thanks for sharing your experience. Hi Salve,
Shame on me that even if I am much older than you and have raised 5 sons, I must admit that I learned from your very practical conclusions. I will take your advice for my youngest son who is 16 years old. I just gave allowances to my children and it was up to them on how to spend it. But when I was young, I was taught on how to save starting with a piggy bank and then my mother opened a savings account for me. I would also go to the bank with her, see her safety deposit box also, and I was exposed to financial matters. I forgot to pass it on to my children. Thanks for sharing your experience.

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