Spending Behaviour Isn’t a Childs Game
As we all know, habits and behaviors are taught to kids while they are young. The same goes with the habit of spending behavior. Managing finances is pivotal to an employee, businessman and to a housewife. I find it quite challenging to teach my three kids Adil (11), Sana (10), Omar (8) years old why it is important to spend responsibly. For them to have a clearer understanding of money I shared few concepts with them.
Need Vs Ego
Whenever you want to spend even a penny, please ask your-self why you want to spend. Based on the answer you get then act accordingly. If the answer is ‘I want to spend because others are spending’ or ‘If I spend I would become part of certain status group’ or ‘If I spend my ego gets boosted’. I told them if these are the answers then never ever make that spending. Out of the many gifts from God to humankind one of the most important gift is money and hence it needs to be spent very carefully because you are answerable to God for that every penny spent. Therefore the important lesson is ‘buy only when you really need it’.
I told them let us imagine money as ‘water’. Let us understand how it works. If you put too much water to a plant then the plant becomes weak and if you put too little water even then it becomes weak. So the first lesson is we need to give adequate water to the plant. What it means is that you don’t have to just spend too much money on your- self and not too meager as well.
The second lesson is water if stored for log gets spoilt so it is important that money is not hoarded. Keep it in motion, make investments. Create an activity with money. Let the water flow and provide nourishment to many plants so that there greenery around and flowers gets blossomed.
Hoarding Vs CharityI tell my kids, ‘make it a point to give regular charity no matter how small it is’. Charity cleanses your soul as water cleanses your body. Make the charity with your own hand so that let your body knows about it.
Spending Vs SavingAs many parents do, I also teach them to save in their piggy banks. I tell them that regular and continuous saving is very important because the weather in life is not always pleasant there will surely come times when there would be thunderstorms and drought and in these times the saving would come as important help. I am sure Adil, Sana and Omar will have their own analysis and views with regards to money and spending as they grow but as a father I want to pass my experience to them so that it helps them to build their own spending philosophy.
Islamic Financier | Lawyer | Trainer
Imad Ali has been associated with the Islamic finance industry for more than 14 years. Imad has worked with Islamic finance divisions of prominent international banks like HSBC and Citibank. Imad has spent his time in the south East-Asia and Middle East.