• Tuesday, March 05, 2024
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My parents taught me about personal finance


As I sit here thinking about my plans and goals for full time blogging (and at the same thing pinching myself to see if it’s all real), I realised that all this was only possible because of my parents.

Sure, I was able to quit my job because I established an emergency fund, knew my monthly expenses and kept them low. But these were all a result of the way I am, the frugal mindset that my parents influenced heavily.

Thinking back, there were many ways my parents taught me about personal finances.

As a young child, my family was having a hard time making ends meet. My mom, the incredible woman that she is, never bought anything for herself until we were much older. While I never really felt the difficulties since I was so young, hearing the stories from my relatives were enough for me to learn that saving money to avoid poverty should be one of the main priorities in our lives.

Practise, practise & practise

My parents gave me allowance early on. The money was very little but it allowed me to learn how to manage my own finances. I understood that if I saved and practised delayed gratification, I could afford bigger and more expensive items.

Storytelling and discussion

Some of the people we knew made financial mistakes that led to dire consequences. Fortunately, my parents were willing to take the time to share with me those decisions and how events played out because of those choices.

Tough love

My parents loved me but didn’t let me have everything I wanted. They allowed me to reason with them but never let me get away with any freebies. They never took shortcuts on necessities but thought diligently on luxuries.

Show me the money

When I was young, my parents bought me mutual funds. It was fun opening those quarterly statements because not only did I love checking on stats, I also saw for the first time the power of compound interest and capital appreciation. From that point on, I knew that it was important to invest, invest and invest

Thank You.

In many different ways, my parents taught me about personal finances. It needed patience, creativity and unconditional love. I wouldn’t be the same person if it weren’t for my parents.