BUDG035 Avoid passing bad money habits on to your kids (393 words + table)

This article explores the impact of parental financial habits on children and advocates for teaching responsible money management from an early age. It emphasises the importance of involving children in budgeting, setting savings goals, and fostering open conversations about money to empower the next generation with essential financial skills.

Generally speaking, we Australians are pretty financially savvy, that is, we understand the how and why of effectively managing our money. Unfortunately, that doesn’t mean we’re actually putting that know-how into practise and making astute financial decisions.

According to the Australian Bureau of Statistics (ABS), the average Australian household debt has risen by 7.3% (over $260,000) in the 2021-2022 financial year. As of July 2023, Australians were paying $18.4 billion – that’s billion with a B – in credit card interest every year.