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Parents play faves when talking money

By Crissinda Ponder · Bankrate.com
Monday, August 18, 2014
Posted: 2 pm ET

This just in: Boys have the upper hand when it comes to financial preparedness. Why is that, you ask? Because, unfortunately, parents talk to their sons about money more than their daughters.

Fifty-eight percent of boys say they have discussions with Mom and Dad about setting financial goals, compared with 50 percent of girls, according to new survey by investment management firm T. Rowe Price.

And since boys get to talk money more than girls, they are more likely to think they are smart about money -- 45 percent versus 38 percent.

© Tatyana T Tomsickova/Shutterstock.com

The survey also found that having conversations about personal finance with kids can help them develop positive financial behaviors. Still, for parents with just one child, 80 percent of those who have only a son believe their kid understands the value of a dollar, compared with 69 percent of parents with a daughter.

Talks bolster kids' confidence with money

Other key findings include:

  • 53 percent of boys think their parents are saving for their college education, versus 42 percent of girls.
  • 39 percent of kids who have frequent conversations with their parents about wise saving and spending say they are saving for their own college education, compared with 28 percent of kids who don't have frequent discussions about this topic.
  • 63 percent of kids who talk with their parents often about setting financial goals say they are very or extremely smart about money versus 35 percent of kids whose parents don't frequently discuss setting financial goals.

The correlation between children's smart financial decision-making and how often their parents talk to them about money is obvious, says Judith Ward, a senior financial planner and vice president of T. Rowe Price.

"Boys and girls should have the same opportunities to learn about money matters at home so they can grow into financially savvy adults," she says, in a statement.

Here's a look at the financial planning flubs of men and women. 

Follow me on Twitter @CrissiPonder.

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2 Comments
Dr. Andrews
August 18, 2014 at 6:33 pm

Very interesting article that has truth. It is important that we educate our children both boys and girls equally.

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