ASK NEALE: Are You Going Into Debt for Your Kids?

(VIDEO) Neale tackles a subscriber question: what's a parent to do when expenditures for their children are out-of-control?

Kids learn “I want“ almost as soon as they learn to talk — or as soon as they see the inside of a store, or their first TV commercial. If you tell them “You want it, but you don’t need it,” they learn “I neeeed” almost as quickly — and their first definition of “I need” is the same as “I want,” but more persistent. You have to teach the distinction.

A Need: Something without which your daily living would be impossible, or very, very difficult.

A Want: Something that if you had, you’d be happier momentarily, but if you didn’t, you could live without.

Remember, your child might want the most expensive, popular brand of new sneakers but wouldn’t a less expensive pair work just as well?