The most common mistake parents make with money and their kids is not communicating honestly about finances. This can run the gamut from completely avoiding discussions about money, budgets and financial decision-making, to communicating incompletely about the topic.
“I have a saying: People talk to their kids more about sex than they do money, and they barely talk to their kids about sex,” says Andi Wrenn, a financial adviser from Boston.
Why does it matter?
Like what kids and adolescents learn about sex, information about finances can be shrouded in mystery, incomplete and laden with inaccuracies.
As one of the 5 Common Mistakes Parents Make About Finances, Syble says, “Too often, people set goals around money that are too vague, such as, ‘This year I want to save more’ or ‘I want to buy a car when I’m 17,’ ” says Syble Solomon, an expert on how people interact with money.