(ThyBlackMan.com) That was a simple question, but it also made me think. First, I realized that we can’t presume that all black people spend money this way. Most of us know African Americans who are very good at saving and investing their money. They are faster to spend money on a book or a home than on some frivolous consumption item.
Secondly, within the subculture of individuals who don’t manage their money well, I believe that bad spending and saving habits start from birth. If you are raised to see money as a pathway to consumption and instant gratification, then that’s what it’s going to be. But if you are raised to see money as a source of capital, like a seed that can be used to grow extra fruit, then you’re going to be more inclined to invest your next dollar than to waste it.
A child might start by seeing money as way to buy candy, shoes or something that he wants. It’s only natural that when they finally get the money, they go straight to the department store. This effect is exacerbated if the child grew up obsessed with having these material possessions or even envious of those who had what he wanted. Then, like a hungry man getting his first meal in a week, the money is gone faster than it arrived.
The point I want to get to here is that
a) this line of thinking starts early
and
b) it can be addictive. A lifestyle built on instant financial gratification is no different from a life built on eating junk food. If you are addicted to the high of spending money to buy material possessions that make you feel good right away, you’re not much different from an addict who hits the crack pipe or an obese person who loves a cheeseburger with sugar on top. Why would anyone choose to be disciplined if they were never taught to be so? That’s like expecting someone to eat health food when they have never learned the benefits of it, and are accustomed to eating in an unhealthy way.
What’s a good way around this for your children? It’s to treat good financial habits the same way you deal with good physical habits, good eating habits, and good educational habits. Make sure that they learn the benefits of financial discipline early and that they also get into the habit of making decisions that are consistent with their long-term financial growth. If you don’t teach this to your kids while they are young, then the world is going to teach them something different. Let’s all be smarter than that.
Staff Writer; Dr. Boyce Watkins
Dr. Boyce Watkins is the founder of the Your Black World Coalition. For more information, please visit http://BoyceWatkins.com.