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Pocket money, chores and kids (aka, one less parenting stress, Part A)

There are so many differing views on pocket money, chores and kids. So, this is one single mumma’s tale: In our house we work as a team. So there are jobs that need to be done because we all live here! (Such as feed the cat, change the kitty litter, empty the bins, put the bins out, cooking and dishes etc etc). 

However, kids who are not old enough to go out and get part time jobs yet need a way to earn an income so they can learn the value of items, pay for things themselves, be financially empowered and learn financial literacy. So in our home there are also jobs the kids can do to earn money. (As a single working mumma this is also a godsend because I just don’t have the time, energy or care factor to do most of the ones the kids can do and plays perfectly into our Team philosophy).

What and how much?

These include:

Doing my laundry (they have to do their own for free because well they wear and dirty them!) $5 a load

Towels and sheets, $5 a load.

Washing the car and cleaning the inside $5

Washing out the wheelie bins (cause that’s super gross) $5

Weeding in the garden $5

Cooking and dishes on my night (because I hate cooking and I work) $5

Other jobs as they come up and I encourage them to suggest jobs they can do… there’s always something. Like sorting the pantry $3, cleaning out the fridge $5, wiping out cupboards $3, etc.

My kids are 15, 13 and 8. Miss 15 has a part time weekend job so she’s right but she still likes to earn extra around the home to top up her social life, make up purchases and saving for a car and her gap year fund. 

I know some people who give their kids a list of chores and if they do those they get their $5 or $10 pocket money. That’s teaching them to work for a salary and that’s fine too. But it becomes an either or and a point of argument. You really want to avoid that. 

By encouraging them to find jobs that need doing, and paying per job this teaches them the harder you work the more you earn. If they dont’ want to do them then that’s fine, you don’t earn money you don’t get to spend money. It really is as simple as that.

Another thing I do with Mr 8 and did with the girls when they were younger is give them smaller jobs or challenges and pay them in my silver change I had laying around.

Empowering and teachable moments

The upside of helping them earn money is that when you go out, go to the shops, go the local show, go to the movies, go anywhere, they don’t have to ask YOU for money, they have their own to spend! Takes a lot of pressure off you. Gives you a lot of life lesson teachable moments too. Especially if you help them set goals of earning a certain amount each month and help them achieve it and motivate them to reach their goals.

An example: Dan (Mr 8 at the local show) – 

Our local Redcliffe show is this weekend. Charz (Miss 13) went with friend of hers, all cashed up from her bank account (Used her eftpos card for the first time to withdraw) – ran into her a few times, not once did she ask for money just a hug hello, a quick chat and off they went. Meanwhile, Mr 8, counted out his loose change at home ($22.75) and asked me to get $20 out of his spending account so he went with $42.75. 

We had an absolute ball. I spent $14 on my own dinner and a Bertie Beetle bag! Dan wisely chose which rides to go on and decided the show bags ‘weren’t worth it because they’re not good value’ (although he did buy a $5 lolly one on the way out the gate later.. just so he had one I think lol). Absolutely no stress for either of us, he went on what he wanted to, he ate what he wanted because he was buying it, and the entire fantastic night cost me $14 for myself. He felt empowered, he got to make choices for himself and he’s very quickly learning the value of things and all that in relation to how much time that would cost him to earn that much. Great life skills, a great night, and absolutely no financial stress on me (I would have spent only $9 save for the enticing strawberry skewer and my must have Bertie Beetle for $2 hehe).

But I’m on a restricted budget.. what can I do?

For those parents not working budgets are tighter, you can encourage the kids to approach neighbours you know or friends to do chores for them – bring money from the outside in. Work out your own pay schedule that rewards their hard work but keeps you in budget. If grandparents live close by ask them to join in by having jobs for the kids to do in exchange for cold hard cash – you also want them doing things for grandparents for free too because we help those we love.There are so many different things they can do.

The important thing is to be teaching them financial literacy from a young age, putting age appropriate responsibility on their shoulders so they’ll become independent and grateful teens, and kids. 

It’s about finding what works for YOUR family and YOU.

 

Where do I start?

You start by having the conversation with your kids around how you are going to teach them about real life by bringing in chores we do because we live here and things they can do to earn more money, how they will now be responsible for buying their own treats when you go out, how they will be responsible for paying for ‘whatever your family thing is’ and reiterate just how exciting that is because you will have your own money. Tell them how you are going to teach them how to earn the money they need. How the harder they work the more they will earn, and just  how much they earn is entirely up to them.

I usually have a list on the fridge with jobs that need doing that week and what each pays. Initially the kids would fight over them. Now it’s evened out. Some weeks one kid is busier than another or just doesn’t want to, so that gives the others an opportunity to earn more, and it seems to even out. The important thing is to let them know that they can’t just wait until you are going somewhere and then do 10 jobs in the one week,

it’s about earning on a regular basis, saving on a regular basis, and then having a savings account and an account from which they can spend.

You as the parent have to work out how much you can afford to spend on additional jobs each week, and get them thinking outside the box too. With the internet, Gumtree, Ebay, Etsy etc there are so many ways kids can make extra money or maybe even team up and find ways to earn extra money as a family. 

I had to buy some moving boxes lately. Came across a lovely lady who picks up boxes from around town (fast food outlets, shopping outlets etc) and onsells them for $1 each. I paid $15 for the convenience of rocking up to her place and having them put in my boot. Great little sideline business for her, and a convenience for a super busy mum with extra cash but no time at the moment (usually my life has been the other way around!). Find something for YOUR family.

Extra resources…

I’ve written a book full of tips for teenagers but also for anyone else who perhaps didn’t have a family to teach them financial literacy – to help manage money, and learn some life skills. Just $10 and you can get a copy  here 

Play Monopoly with your kids, that helps teach them about accumulation and money to a certain extent. Or Cashflow for kids to teach them about creating income streams. There are a lot of resources out there. Have you set up their bank accounts yet? Preferably two – one for spendings and one for savings (long term so they can watch the miracle of compound interest work for them).

Mentor Mumma… 

Join our Facebook group if you haven’t already to join the conversation and other parents in this journey HERE

Have you seen my 5 minutes of fame on Today Extra yet? I had so much fun, but was sooo nervous. Ended up absolutely having a ball, and so did the kids. If you haven’t seen it yet check it out on our Facebook group: HERE 

 

Have an amazing week all xo

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The B word … Budgeting – for all types of parents.

The B word.. Budgeting, none of us particularly like it. Most of us cringe at the thought of it. It is however a necessity in getting ahead and not spending your life looking back. I think it was John Maxwell who said Budgeting is telling your money what to do rather than wondering where it went! 

Google, and a host of well meaning Facebook memes tell me it’s just 26 weeks until Christmas 2017. That’s half a year! And the good news is with some small changes in your household, you can change financial direction and have a great Christmas, a great holiday and pay off any debts you have (some will take a lot longer). Great doesn’t have to mean big and expensive. Some of our most memorable family moments have been camping in a National Park that cost us less than $25 a night.

Only a few years ago I was counting every cent and had to beg friends for help by laying my heart, and our situation, on the line. Fast forward a few years, a few changes (physical and mentally) and a few improvements and here I am having just taken the kids on an amazing overseas holiday, I’m debt free (apart from that pesky HECS debt) and planning on buying myself and the kids a home (yep I regret selling our family home a decade ago). So here’s some of the top tips I’ve learnt and hope they help you too.

 

Oh but first have you joined our Facebook Group: Parenting Australia with Mentor Mumma? If not, click HERE 

Top Tip – Set your intention! Get a goal. Keep it in mind, every, single, day. Write it on your fridge and toilet door.

Tip 1 – Keep a record, even if just for two months

You will be amazed when you start keeping a record of where waste appears and areas you’re spending in that you never realised. By keeping a record of every cent spent you get an idea of where the ‘holes in your bucket are’ and where you can make changes. A 25c exercise book from Woolworths will do.

Tip 2 – Get a water bottle or old coke bottle

From this day forward any $2 coins you get, go straight into this bottle. Cut a hole in the top and super glue the lid shut so you can’t get anything out (nor can the kids!). Just keep filling it until it gets to the top, and when you do you should have close to $1000. Some people put any new $5 notes they get in theirs too. Depends on where your budget’s at. This is your ‘adventure’ money. Money set aside for a family memory making event.

Tip 3 – Plan, Plan and Plan some more

Every year get new prices on your insurances.

Set up a direct debit or credit situation where you automatically make payments to your main bills ahead of time, each fortnight (or pay period) for electricity, phone, internet, etc so that you never have a bill again, you’re always ahead.

Shop wisely by creating meal plans, using what’s in the pantry and avoiding as much wastage as possible.

Simple Savings taught me the $21 challenge which I adapted to the $30 challenge. One week take an inventory of what’s in your fridge, freezer and pantry. Then work out what meals you can make with that. The $30 for the little extras you need to complete a week’s worth of meals using what’s already in the fridge/freezer and pantry. This will save a small fortune when done every six to eight weeks.

Plan, plan, plan.

Tip 4 – DO NOT USE CREDIT CARDS

Unless you own your own home and have a redraw facility that benefits your mortgage, and you are also extremely disciplined to pay the card off every month without fail, then do not ever have a credit card. They give you a false sense of security. They teach you bad habits – living off what you don’t have yet. And they 99.9% of the time lead people into financial hardship and a never ending cycle of debt. Instead, only live on what you have and that may at times mean going without, sacrificing and having a few baked beans on toast meals. It’s worth it in the end. You’d also be surprised how many meals you can make with baked beans, just saying.

Tip 5 – Set yourself financial goals

I saw a billboard recently that said most humans spend more time planning their annual holiday than they do their future and retirement. It’s true. Start to set yourself financial goals. Get your superannuation in order. Dare to dream.

Tip 6 – Team effort: Get the kids on board

As a single mum I run my family like a team. Everyone plays their part. That means when we have holidays, everyone saves their own spending money, everyone contributes to the family in some way be that saving their own money or turning off the lights, turning power points off at the wall when not in use (this saves a small fortune too), having cold showers in summer, using a timer for hot showers in winter (cause let’s face it we all want to stay in there for an hour!), etc.

Tip 7 – 60/10/10/20 rule. 

I’m reading a great book at the moment by Scott Pape called the Barefoot Investor.  For it to be any good to you, you have to be above the poverty line and earning a decent income. HOWEVER, some of his basic principles can be applied:

  1. Ensure your bank account does not have annual fees.
  2. Set up four accounts: 1. Spendings/Daily living = 60% of your income. 2. Savings = 10% of your income. 3. Splurge = 10% of your income. 4. Fire Extinguisher (which is used to pay down and off debts quickly) = 20% of your income.

Tip 8 – Christmas bottle

Christmas is what you make it. If you choose to make it about gifts and overspending and getting in to debt, then that’s what you are teaching your children. THIS is the year you get to decide what legacy you want for your children’s future. DO NOT go into debt for Christmas, or anything else for that matter other than a roof over your head. Rediscover family, rediscover connectedness, put balance into your lives, and start the new year without a Christmas debt hangover. Start your Christmas bottle now – start putting $2 coins into it and what’s in there at Christmas time is what you spend. Nothing easier than that.

Tip 9 – Dream.

Don’t be afraid to dream. Work on your mindset. If things are working for you, change yourself first. I have a great ebook to help you do this if you’re struggling. Hat Trick Therapy: Three ways to change your life – Just $4.95 HERE 

There are so many more tips to get ahead financially, but prioritising your expenditure is a key one. I would love to hear your budgeting tips and tricks, success stories, and even failures too because everyone wise knows, failure is a major step in the success process.

Wherever you’re at financially, this is not where you have to live. This is not where your story ends. This is just the beginning.. you get to write the rest of your chapters. YOU get to make changes that change your life, and that of your kids lives. You’ve got this. If I can do it, then seriously, anyone can.

Have an amazing week,

Jo

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Overwhelmed… Disneyland, Dreams and Reality.

I’m overwhelmed. THANK YOU.  Firstly at the amazing response to our recent trip to Disneyland. Seems we appeared in a lot of online media outlet articles and on their pages. Kids were even recognised a few times which has made them feel super special. Then reality hit and we got back, jet lagged, exhausted and my website went missing in action (seems although my domain registrar thought I was paid up I wasn’t and now that’s been rectified we’re back :)).

I have so many articles to write for you I’m a bit overwhelmed with where to start, so thought, I’m just going to start. So here I am, starting.

So here’s a very brief run down of our trip, with much more to come in the next few weeks.

The good

 Dreams DO come true. There were happy tears shed for making this trip happen – at the airport, walking through Universal Studios gates, Walking into Disneyland for the first time, Watching the Disneyland Adventure Park World of Colour Display (I bawled), watching Tinkerbell in the Electric light parade, meeting Fantasia Mickey Mouse!, watching Steve Martin host the 50th anniversary of Disneyland video half an hour before we left the park for good and all of us did NOT want to leave Disneyland on the last day, choking back tears. Dreams came true. New ones we didn’t know were experienced.

 

Another good thing that I did was before we left, a year in advance I told the kids I would pay for most things but they had to pay for their own lunches, souvenirs and extras. This saved me a small fortune and taught them a host of valuable lessons.

We had an absolute ball and would do it all again in a heart beat. I inherited the travel bug from my parents, and my kids are slowly catching it from me – this makes me happy. We travel well together – even after a fortnight sharing beds and being constantly in each other’s space. We’ve even applied for the Travel Guides show on channel 9 – cross fingers, toes and hair follicles for us.

The bad 

Doesn’t matter where you are, you are there, and kids will be kids! So we had meltdowns (mine and theirs!) and what I refer to as teenage ‘resting bitch face’ moments. When you arrive at YOUR Disneyland and then realise you’re sharing it with 10,000 other people in 30 degree heat, it’s a bit of a shock to the system. That and the strollers. OMG strollers. We HATE strollers now. After 16 hour days, hot days, little sleep, and waiting in queues there were a couple of times where it was all too much for one or three of us, and other times where we went Hurricane Harlow hilarious crazy mode to cope hehe. Hollywood was not what we expected and was a real let down – the homelessness (and homeless men blowing kisses to my 8 year old son and waving him over – thankfully he was head down, walk straight ahead due to our prior warning) and state of the place is a shock (apparently no one but tourists, sales people and the homeless go to Hollywood!).  That was really the only bad we encountered so not too bad at all. The bad was outnumbered 1000000 to 1 with the good.

Coming up…

In coming weeks I”ll do some articles with much more specifics on Disneyland, Universal Studios, Travelling with kids, budgeting, budgeting WHILE on holidays (no credit cards allowed), and a host of other things that are on my mind or that you’ve asked for. And I have LOVED getting your messages, thank you so much. If there’s something you’d like me to focus on please send me a message on our Facebook group (and if you haven’t joined, come on over) HERE.

Have an amazing week,

Jo.

PS: If the kids look tired in this photo it’s because this was our one day at Adventureland, we’d already been there 10 hours and they had milked every second on the rollercoasters and rides having a blast. this was very much a DO day. This is about 8pm at night.. after they let me take this pic they raced off for another hour on the California Screaming rollercoaster (the one you see in the background). I waited on a comfy seat and people watched lol.