By Gaurav Pokharel
Growing up, I heard the most about a) the importance of education and b) the value of money.
Money must be valued, revered, and treated with respect—South Asian parents have indoctrinated this and recite it like a mantra. But how many of them pass on that wisdom to their kids?
No, I’m not talking about “Beta, save your money! Why shop at Abercrombie when you can get first-class polos at Old Navy?” here. I’m referring to sharing the secrets of making money, the importance of keeping money, and the significance of utilizing long-term investment strategies to produce more money.
Teenagers aren’t learning about finances unless they look for the information themselves, and in the age of social media, video games, and Lady Gaga, very few are self-aware enough to be doing that. When I graduated from high school, the school system only taught math—it didn’t teach kids how to apply those same mathematical concepts to financial organization and understanding.
Some students might be lucky enough to take an accounting class or two in high school, but what about those who aren’t?
Unless they’re intrinsically intrigued by it, most teenagers could care less about financial organization when they’re in high school. The money they earn by greasing up from part time work at McDonalds often ends up being frivolously spent on clothes, video games, saving up for a car, or the latest technology.
I know, because I did the same things. Spending $300 every three months on oversized t-shirts, baggy jeans, and fake diamond earrings were important to me. Why? I wish I knew, just so I could go back in time and slap myself.
More importantly than that however, I wish I was smarter with my decisions. I wish I worked more throughout my high school years to save for postsecondary education, and instead of spending all my money on questionable clothing, I wish I had been more aware about the options available for me in terms of investing. At that age, I didn’t care at all—I was just happy to make $7.30/hour.
And it’s not just me – plenty of my South Asian friends grew up with only a fundamental understanding of finances. It’s clear that most parents make their children aware of the basics, obviously. But in order to truly get ahead, one must be well above the curve, and this applies even when dealing with money. South Asian parents tend to push their kids to get ahead when it comes to education—why not practical financial education as well?
Do these sound familiar?
“Why should we pay for a car wash when it’s about to rain??”
“It’s only 38 degrees (Celsius) outside, just use a fan!”
“If $20 a month is nothing then why don’t YOU pay for it?!”
These are phrases South Asian kids often hearing growing up, and as a result, indirectly learn about the importance of saving money. However, while there is a clear emphasis placed on saving money in these exchanges, the above examples fail to convey other aspects of financial knowledge which are just as valuable. What about investing? What about being aware of tactics utilized by credit card companies? There’s more to understanding basic finances than just saving money, and any knowledge that a parent has is gold for the child. If it doesn’t come in handy now, it will in the future—so why not just share it?
For a group of people who love to talk about money and act infamously frugal to make sure they retain it, I’m surprised that the majority of SA parents do not share more than a basic level of financial understanding with their kids.
Providing practical financial education to your kids from the time they become aware about the value of money is more than just a great way to bond—it also provides your son/daughter with advice that will literally last a lifetime.
