Everybody's talking about money these days: House prices are
going down; more families are facing foreclosure on their
mortgages; gas prices, energy prices, and grocery bills are all
going up — and uncertainty over when things will take a turn for
the better is making everyone tighten their belts. But how do
parents explain this to their fashion-conscious middle-school
kids? How about teens with dreams of out-of-state college or a
new car? What to Say Be honest with your children — but don't
tell them more than they need to know. Avoid overloading older
kids with too many details or worries that might scare them.
Stick to brief explanations and be clear about changes made to
the family budget. Even young kids are brand- and consumer-aware
these days, so don't expect them to volunteer to scale back on
their treats or activities right away. But if you want to
encourage budgeting behavior, offer incentives to get kids on
board. Knowing what you want to say, what changes will be made —
and how those changes will