After such a turbulent year, there are likely swathes of the US population who are sorely in need of financial help. These are strenuously difficult times for many, and not many people have been left completely unaffected by the pandemic.
Depending on your circumstances, your parents may be among those who are less fortunate from a financial standpoint. They may have lost substantial amounts of income or found themselves grappling with other challenges that impair their ability to function independently in many other matters. As a loving son or daughter, you may feel compelled to step in here and offer your support.
While most people anticipate helping their kids understand complex financial matters, others may not be prepared to help their aging parents excel here. Some fresh challenges may be presented to you along the way. We detail what those are for you below, and how to overcome them.
When Should You Teach Parents About Money?
There are opportune moments to teach parents about money, and strategically picking your moment may make all your lessons resonate more poignantly, and thus memorably too.
The best time is likely when your parents are on the cusp, or have encountered, financial strain. Otherwise, your remarks may be fleetingly considered and subsequently ignored. Of course, it could be good to forewarn your parents with the odd bit of financial advice or trivia, but perhaps be prepared to be underestimated if your comments are not strictly relevant to their immediate situation.
Try to present solutions to the current problems they are facing, and work with them to get them out of any financial hole. After all, providing they are not suffering from any health complications, they are otherwise grown adults who can fend for themselves. The best you can do is offer some guidance as these hurdles come along, and otherwise remain loyal through the challenges they face.
Teaching Your Parents About Money
Your elders should already be equipped with the fundamental skills of financial management. However, some of their talents may need fine tuning as they go. They may also understand the weight of any serious monetary concerns, and unlike your kids, this may take a serious toll on their mental and emotional wellbeing. Try the following ideas to get them back on track and bettering their financial situation once again.
Authorize In-App Activities
While some apps can be underwhelming cash grabs, others can be a viable asset to your parent’s financial future.
Thanks to Tally, both you and your parents can find help with credit card debt here in a quick and painless fashion. Their interface is well-presented and easy to use, and it helps all its users to start saving under a simple and straightforward method. Better credit is soon built, transparency is found at every turn, and card management has never been easier. Payments are fully automated also, so this app really has the backs of its users.
Your parents may not be tech savvy, but they do not need to be to appreciate the dynamic range of benefits provided by these types of services. Ensure they have the right resources at their disposal, and they will always have someone fighting their financial corner – even when you are not presently with them.
Inform them of Scammers
It may be prudent to address the financial concerns of your parent’s age group. Malicious entities such as scammers are certainly worth discussing further.
Unfortunately, scammers may often target elderly individuals and try to steal their money from them via either phone or email. Educating your parents on these issues could make a crucial difference in their wellbeing, especially if they are aware how susceptible they are to these schemes from the outset too. Some worthwhile lessons to share could include:
- Ignoring unfamiliar callers – Whether the number is withheld or unfamiliar, advising your elderly parent to ignore such calls is a crucial step in curbing the chances of being scammed. If the call is important in nature, an email (that does not reach the spam folder) should set any misunderstanding right.
- Not presenting sensitive information – Nobody will ask for sensitive financial information over the phone, nor any passwords to accounts and so forth. It may seem like common sense to you, but these important details can slip the mind of elderly parents, so jogging their memory may be useful.
- Ignoring malicious ads – If your parents regularly browse the internet, they may encounter popups that claim they can fix their life with one easy click. That click may send them down a chaotic spiral in time, so advising them to ignore any internet adverts is a good idea.
Scammers can crop up unexpectantly, so if your parents have these tenants in mind, they can safeguard their finances against any criminal activity at any moment. It may also give you peace of mind, also, in that you will not need to spend as much of your day worrying about their prospects.
How Can Your Parent Make Money Over the Summer?
If your mom or dad has experienced a series of financial setbacks in recent times, then now is the time to roll up their sleeves and to start breaking some eggs. There may be more opportunities to tap into than they are initially aware of.
Allow Hobbies to Flourish
By now, your parents have likely led long and eventful lives. During their many years of experiences, they have likely picked up more than a few talents along the way – and they may even be able to profit from some of them.
After all, some resolve to set up their own stores online, with the smaller businesses even garnering mainstream media attention on occasion. If they sew, crotched, paint, or draw, there is a profitable place for their work on the internet.
Selling their goods online may be rewarding in an emotional sense too. Your parents could be fulfilling their dreams when making a long-held passion a profitable endeavor. Who knows, perhaps the change in their financial outlook could also alter their life in a series of other profound ways too!
Teach “Want it” Vs. “Need it”
You may have taught your kids some hard lessons about differentiating between ‘wanting’ something and ‘needing’ it. But what if similar lessons could also be fruitful with your parents?
After all, once somebody is working full-time jobs for their money, the desire to buy everything they want perhaps has a stronger pull. Why shouldn’t they treat themselves after all that toil? It is a hard thing to argue against, and it may require a bit of tact on your part.
For example, you could gently caution them against indulging in any summer spending until their finances are in a better position. That way, they will not overspend on belongings that are not necessary and they may save up their money accordingly. You could discourage them even from buying gifts for you and your children, temporarily. Hopefully, these small savings may accumulate into something bigger overtime.
You could also remind your parents of the virtues of investment. Instead of spending what little cash they have on fleeting experiences or one use products, they could instead channel it into an endeavor that will grow their money overtime. Property markets could be worthwhile ventures, as can up-and-coming businesses. It is all about spending money with an acute sense of priorities and reward, and if you can help them nourish that sense of perspective, great opportunities may occur.