Money Conversations with Family

Welcome back to another weekly market update.  We have special guests joining us today on a very special topic.  Eileen E. Galbraith and Kyle Boeckman are joining us on the show today.  Eileen is known as The Credit Gal and can help you clean up your credit.  Kyle was Loral’s partner in the Make Your Kids Millionaires book.   We are going to talk about families, significant others and how do you help get them on board for this money conversation.  We are all interacting with money all day long.  So we must be talking about it especially with our family. In today’s episode, we talk about the importance of having money conversations with your family and significant other and getting on the same page for where you are headed.  Show Notes: [02:04] The end of the year is right around the corner.  Make sure you do the things on your checklist and get your infrastructure in order.  [04:04] Less than 10% of us have a money conversation growing up in our households. No one talks about it.   [06:04]  Eileen shares her story about growing up and money.  She shares how she struggled with money later in life because she was never taught about it.   [07:44] Eileen shares how she believes you have to spend money to make money.  It is a cost of doing business.   [08:15] It can be very frustrating and draining as a couple if you don’t have the same money mindset.  Money is a conversation that has to happen.   [08:58] Eileen and her husband have a money date night every week where they have a positive conversation about where their money is going to go. Sit down and have a loving and positive conversation with your partner.  When you get on the same page, miracles happen.  [10:19] Understanding the money psychology of your spouse is really important.  By understanding where they are coming from you can avoid a lot of conflicts there.  [11:20] Build a foundation with your spouse of a similar understanding of basic concepts of money so you can be on the same page.  [13:11] There are so many different ways to raise millionaire kids, but at the end of the day, you have to do it your way.   [14:13] It is important to teach your kids about money at a very early age and incorporating that into their everyday lives.   [15:01] When you are paying bills or investing, incorporate your kids into that and explain what you are doing to them. Every opportunity you can take to bring these moments into your culture is pivotal.   [18:01] Justin shares his story about being hit hard because of a lack of planning and knowledge.  [20:54] It is important to set things up properly for our loved ones.   [21:42] Whether you want to talk about money or not, at the end of someone’s life you have to.  [23:49] Loral taught her kids about money by modeling and taking them with her around the world.  [25:52] Eileen had someone meet with her husband and he shared the possibilities and how she wanted to grow.  [28:42] What do you need to talk about when it comes to money?  [29:13] There are five money categories that you need to talk about.  How are you making money as a family? [29:21] When you say you can’t afford it to kids all they hear is that they aren’t worth it and they don’t deserve it. It strikes their self-worth and at a psychological level that is often irreparable.     [29:58] Income, expenses, and cash flow are all parts of the conversation.  [30:53] The other parts of the conversation are assets and liabilities.   [31:16] Every real estate transaction affects all five of the financial categories.  [32:27] Having a common goal with your family makes all the difference.   [34:09] They don’t think of not being able to afford things anymore, they know they are able to go make fast cash if needed.   [36:45] There are three categories that help develop good money psychology.  First is their willingness to delay gratification and figuring out if they are a spender or a saver.  [37:16] The second factor is risk tolerance. Different people have different risk tolerances. The final scale is decisiveness.   [39:13] It is important to know the foundation of where they are coming from so that you can know how to go where you need to get.   [40:57] In everything you do you’re going to make a decision about money.   Loral [42:49] We often learn through repetition.  So as many times as our families hear the terms, the more they begin to pick things up.   [45:13] The fastest way we can help you is by getting some money back into your pocket.  Then you can go back to your spouse with results.   [48:19] If you are bringing kids into a blended marriage just protect whatever you have.  [49:12] It all starts with the conversation.  You have to be respectful of each other and sit down and start the conversation.  It is important to understand what is going on with money in the world right now.   [50:18] Integrate these money concepts in your everyday lives.  Money is not something to be afraid of.  It is something you need to discuss and it is a big part of our lives.  [51:37] Justin shares about a project he and Loral are working on in Topeka with real estate.   [53:33] When you are an investor in a project with a group of like-minded people you take so much more pride in that investment. [55:31] Check out the Millionaires in Training Group.  Links and Resources: Ask Loral App Loral on Facebook Loral on YouTube Loral on LinkedIn Money Rules Millionaire Maker Store Real Money Talks Podcast Integrated Wealth Systems Affiliate Sign-Up The Credit Gal Website Eileen on LinkedIn Kyle on LinkedIn Make Your Kids Millionaires Book