My son is turning 5 soon and as he grew, the past few years our conversations have evolved from simple googoo gagas to me having to find the answers to his multiple questions. I love my kid, but he has me Googling a lot of things daily because guess what? Papa doesn’t know everything. Well, there’s a subject that we should all talk to our children about and I mean early and often. That subject is money.
How is it that some super-intelligent kids grow up to become exactly what they wanted to become and make very good money and then boom…they’re broke? The examples are outrageous, from super athletes playing in the big leagues to respectable professionals all the way to entertainers. Most of them end up broke or mismanage their wallets badly.
Financial literacy or in our case financial illiteracy is a huge problem. A huge problem impacting the world. It seems that most people believe that finance is a difficult subject and they are unwilling to learn about it or even worse, to teach their children about it.
Here a few causes of the lack of financial literacy by young adults today:
- Lack of good role models
- Lack of financial education
- Lack of impulse control
Growing up I saw my mother working extremely hard and she provided me, my big bro and big sis with everything we needed. At about 21, I found one of her paycheques and even though I didn’t want to look at it, I did and what I saw broke my heart and got me to tear. My mother provided us with everything we needed, and she was paid the minimum wage. That s*** broke my heart because I remembered all the dumb reactions I had when she didn’t give me exactly what I wanted. So how did she manage to take care of three children without making much money, she was planning, and she was managing her money. I swear my mom would have been an even greater banker than Jamie Dimon. My mother couldn’t teach me because she had to figure out how to feed us so we could be big and strong, so I don’t blame her. But parents should be role models and teach their kids how and why they need to learn about how to manage their money.
Schools should also do a better job teaching kids, teenagers, and young adults about finance. Firstly, it’s not that hard and second, it’s fun. The most important thing is to teach them how to apply financial education concepts in real life. Theory is cool, but practice makes perfect, right?
We also need to teach our young ones how to control their impulses. In high school, I used to be the coolest kid because I had 150 pairs of sneakers, matching jackets and matching, baseball caps with a ton of other dumb stuff, but to what avail? I was working so hard at McDonald’s and spent all my cash on clothing so I could be the freshest kid on the block. I swear if I could redo it, I would have only worn white T-shirts and blue jeans, just like one of my buddies did. When I got my first well paid corporate job after University, I went straight to an Acura dealership and bought a brand-new luxury car I didn’t need.
All these aforementioned problems could be prevented by having access to the right financial literacy service and that’s the reason why the team and I are working on Cobi.
Give us your thoughts on that issue.
Waxdale Ventures L.P. is the startup studio operated by Waxdale Ecosystem Inc. Waxdale Ecosystem Inc. is an Ecosystem as a Service organization and it provides services and tools to entrepreneurs and startups throughout the startup lifecycle. Waxdale Ventures was created as a vehicle to help Waxdale Ecosystem build internal and mostly consumer-focused startups. It is primarily a great way for Waxdale Ecosystem to test its own services and tools (eating its own cooking) to perfect its offerings. It is also a great way to provide consumers with great products as they are being snubbed by many tech startups who prefer the big margins that B2B business models offer. Waxdale Ventures is a journey that Waxdale Ecosystem wanted to embark on. Waxdale Ventures L.P. is managed and operated by Jean Agenor, Waxdale Ecosystem’s founder, and CEO. Jean is also Startubuz’ s editor in chief. We sincerely hope we found the solution to your most pressing everyday life problem. With love and respect. WVLP.