Saturday, August 9, 2008

The Financial Reality Our Kids Face

We covered some great topics during today's show about Kids & Money. In order to equip you with more information about the financial world your kids live in, check out these statistics:

> In 1983, companies spent $100 million marketing to kids; in 2007 they spent $17 billion.

> Kids age 8-12 spend $30 billion of their own money annually, and influence an additional $150 billion worth of spending for their parents.

> The average college grad has more than $3,000 in credit card debt and $19,000 in student loan debt. (8.5% of college students drop out due to debt/financial obligations; 6% drop out for academic reasons)

> 32% of college students say they were "not at all" or "not very well" prepared for managing money on campus (2006 Key Bank poll).

> 35% of children would like to learn more about money management from their parents; 42% of parents say they haven't taken any steps whatsoever to discuss financial basics with their kids (2006 Capital One study).

If we aren't teaching our kids to responsibly give, save, and spend their money, the credit card companies will be happy to fill the void. Bad habits and behaviors are never easy to change, but there's definitely no time like the present to begin a paradigm shift. Today can be the day you take back your family tree and strike a path toward financial freedom.

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