It’s graduation season again. Due to the COVID-19 crisis this one is a little different, but regardless many of our kids are moving to new horizons. We all have a strong desire to impart wisdom and advice to these graduates. Through commencement speeches and other means, we hope to plant small seeds of wisdom in their young minds.
“Plastics”, says Mr. McGuire to Benjamin in the 1967 film The Graduate. “There’s a great future in plastics. Think about it. Will you think about it?”
Just like Mr. McGuire, we have great advice to share but we screw up the delivery.
Some of the best advice we can give young adults revolves around personal finances. I have had numerous opportunities to discuss personal finances with young adults over the years. I have learned what works and what doesn’t. Here are some tips if you want to be heard:
- Ask Questions – They are much more likely to listen to what you have to say after you demonstrate that you are interested in what they want to accomplish.
- Do’s not Don’ts – Suggest what they should do, not what they shouldn’t do. Say “try to save a little of what you make every month” instead of “don’t spend more than you make”. This keeps the conversation positive. As humans, what we focus on is what happens.
- Tie the Advice back to Their Goals – Give them a clear picture of how good money habits now will lead to the long term financial success they desire.
These tips don’t always work, but when they do it’s awesome! There’s nothing like seeing a young adult’s eyes light up with excitement as they imagine what they can accomplish with a few simple money habits. One of our most popular blog posts was written by Austin two years ago when he was 22 years old. It’s a great post to share with young adults because it illustrates the Time Value of Money very clearly in a way that’s relatable. Here is a link to that post if you want to share it with somebody: How your money can work for your future.
Can you remember some advice you were given at a young age that really stuck with you? Please share, I would love to hear from you.