We are a family of five with a stay-at-home Mom (luxury) and a Dad who works full-time for a reasonable paycheque (but not a HUGE paycheque). We do not have ‘benefits’ for dental stuff or Rxs.
We live in a house that has a mortgage for about half the value at this point in time. We have a small line of credit, two credit cards (on which the balances are normally paid in full or near-to-it each month) and a small value RRSP.
We have two cars – one of which is paid for (and older) and the other which is financed (and newer).
We are neither poor nor particularly affluent.
Our kids have a mix of new, used, and hand-me-down clothes, toys, furniture and books. We have a Wii, a Playstation2, lots of Lego and a computer that’s “just” for the kids to use. Some of the luxuries we have in our house are from pre-kid days, pre-marriage days (when we were both single) and some are gifts from friends.
Neither of us, the parents, have relatives living nearby to assist us. There is no option to borrow money from our own parents for anything, nor do we have grandparents popping by to spoil the kids with gifts or free babysitting.
We do have very generous friends who have given us heaps of toys, clothes and other cool things for the kids. These same friends offer a great deal of support emotionally.
We do not go out often – the cost of five people to see a movie, for example, means we tend to rent ‘em instead. Coffee and I do have the occasional “date” when we save up some cash for a babysitter and the cost of whatever we decide to do on our date.
Our kids belong to Scouts/Cubs/Beavers. At the moment, those are the only non-school (and structured) activities they participate in.
The kids all get an allowance equal in dollars to their age in years. Each kid has chores to do on a daily basis (ranging from “brush your teeth” to “clean the bathroom”) and if the chores are not done, the kids are not paid for it.
The parents pay for the necessities of life and a bit of the luxury. Clothes, books, school supplies, food (of course), educational toys, crafts and family activities are all deemed “needs” around here.
The kids are expected to save their allowances to pay for the “wants” in life. A new game for the Wii or an MP3 player are things for which allowances need to be saved. (This is part of why they get a fairly generous allowance.)
The kids complain that we don’t buy them “enough stuff”. From scooters to video games, they’d like MORE. One child specifically equates “things” with “love” and can become quite anxious if he feels we’re not “loving” him enough. We are working on this and it’s easing.
Our four year old is getting the hang of saving his money for big stuff. He is so proud of himself when he accumulates the money to buy a new DS game or when he has enough money to buy new toys at the store.
Our oldest kid was adamant that he’d never wear or buy used clothes from Value Village. No hand-me-downs. By setting an example ourselves, he now sees the coolness in buying something that’s gently used and significantly cheaper than new. It doesn’t hurt that he’s received some incredible clothes as ‘hand me downs’ and his friends are envious.
We don’t loan money to our kids. Ever. We’re teaching them to live within their means, to save for things they want, and to not use credit. They still ask us to loan them money but they know it won’t happen and the requests are fewer.
We’re teaching the kids to value the things they have, to take good care of them, and to fix things instead of tossing them for something new.
They’re learning that saving money on X means more money for Y when you live within a budget.
They’re learning, actually, what a budget IS and how it works.
There are moments when I want to give in – and usually those are emotional moments. The same sort of moment when I’d be likely to indulge my own wishes to spend/acquire rather than save up.
Like when Middle One tells us he reaaaaaaaaally wants a scooter and could we please buy him one because, oh, ALL the other kids have one!
Like when one of the kids’ friends informs me that he has a TV and dvd player in his room and why doesn’t our kid have that too?
Like when Oldest One asks for an XBOX because his foster family had one and he has the games and why can’t we have one too?
There are moments when I want, more than anything, to give them anything and everything they request. When I think, “It’ll make them happy!” or when I think, “Maybe it will help him make friends if he has one like they do!”
Then I remind myself that it doesn’t do them any favours in the long run.
And I remind myself of all the times when I thought hard about buying them something and was THISCLOSE to doing it – only to have them come home and announce that they no longer want that thing because no one plays with that anymore.
Or when I look at the toys they DO have that they don’t play with but REALLY wanted.
We do buy them things. We do surprise them with toys or books or “stuff” on occasion. We reward excellent behaviour with tangible items (or a cash bonus for their savings toward a particular item). We do take them to see a movie or go to an event or let them get the more expensive markers for school.
They do get the kids “funky flavour” toothpaste. The shoes with Spiderman on them that light up. Their choice of breakfast cereal each week. Other little things that are indulgent but fun.
But balance is important. And learning, for life, that money is a tool? That’s pretty invaluable.
(And it’s a good exercise for me, too.)



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