PARENTS fear they will pass on bad money habits to their children, causing them to avoid financial chats entirely, a study finds.
A poll of 2,000 parents with children aged between 10 and 20 found 85 per cent worry they will give their offspring bad financial advice.
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Many parents admitted they don’t feel confident when it comes to investing (29 per cent) budgeting (25 per cent) and credit scores (23 per cent).
While 21 per cent have struggled to discuss saving for university with their kids.
It also emerged 51 per cent want to give their children the best footing in life financially but feel like they aren’t qualified to pass on what they need.
The research was commissioned by Skipton Building Society, part of the Skipton Group, which has teamed up with TV presenter and finance expert Tayo Oguntonade to provide parents with insight about how to broach the subject.
He said: “Children often look up to their parents as if they hold all the answers – but unfortunately, that’s not always the case, especially when it comes to finances.
“While it’s natural for parents to want to shield their kids from their own mistakes, avoiding these conversations altogether can do more harm than good.
“Discussing money matters early equips children with practical skills and a healthy understanding of finances, setting them up for a brighter financial future.”
The study also found 51 per cent of parents are concerned they could cause financial anxiety by discussing these money matters with their children.
While 41 per cent are avoiding opening up about mistakes they’ve made about their finances in the past.
As 76 per cent wish they had received more financial education as a child.
But, on average, parents believe financial matters should start to be broached with youngsters at the age of nine.
Although 66 per cent feel financial literacy should be taught in schools rather than at home.
Two thirds believe budgeting is the most important financial topic children should understand, followed by being able to spot financial scam (49 per cent) and investing (45 per cent).
The research, conducted via OnePoll.com, also revealed 31 per cent of parents rarely or never seek professional advice about their own finances.
But 59 per cent are trying to involve their children in more family finance discussions.
Helen McGinty, head of financial advice at Skipton Building Society, added: “The economic landscape is always evolving, which is why it’s crucial for both parents and children to embrace continuous learning about finances.
“By seeking proper financial advice, parents can make informed decisions and pass down valuable knowledge to their children.
“This not only helps families navigate challenges together but also empowers the next generation to build a stronger, more secure financial future.”
Most important financial topics for children
PARENTS believe financial matters should be discussed with youngsters from the age of nine. These topics came out as most important.
- Budgeting
- How to spot a financial scam
- Investing
