By Michelle MacDonald. A survey commissioned by Envision Financial, a division of First West Credit Union, finds that less than 25 per cent of parents are extremely confident when it comes to teaching their kids about money.
Pictured at right: Courtney Roth
The survey also reveals eight out of 10 respondents believe parents have the primary responsibility to teach their children about finances. As Canada enters Financial Literacy Month, these stats reveal a significant opportunity to enhance financial education.
“It’s great to see such a high percentage of parents taking responsibility for their kids’ financial education,” says financial expert Courtney Roth, branch manager for Envision Financial, a division of First West Credit Union. “But, it’s also telling that such a small number of people have confidence when it comes to teaching their kids about money.”
The survey also found that one in four parents were exclusively self-taught on money matters and more than half of parents—58 per cent—got their financial education from one source, whether that was parents, grandparents or other sources.
“That means parents’ financial knowledge and understanding may lack depth, so there’s a risk kids, in turn, are getting a shallow financial education. As in many things in life, it makes good sense to learn from a variety of sources and teachers.”
The survey of 507 parents across B.C. showed that while 79 per cent of respondents believe they have the primary responsibility to teach their children about money, only 53 per cent say there are sufficient resources available to help them.
“I encourage parents to involve their children in financial conversations as often as possible, not just during November’s Financial Literacy Month,” says Roth, who is mother of two children ages three and six.
“Like any skill, it’s best to start sound financial management practices early and involve kids in specific family savings goals. Instead of saying no to a child’s request for a new toy, use it as an opportunity to explain the concepts of earning, saving and buying.”
For more in-depth financial knowledge building for parents, Roth says that’s where the professionals can step in.
“The more we can help parents manage the complexity of today’s financial landscape, the better we can financially prepare future generations,” she says. “Our survey results show there’s a clear role for professionals when it comes to financial literacy. That’s why we have such a strong focus on building banking knowledge.”
First West conducted a poll of 507 people in British Columbia from June 2 to 7, 2016, using Google Consumer Surveys. Google Consumer Surveys is an online tool that collects feedback from the general population, targeting visitors to desktop and mobile websites. The results of this survey are accurate at the 95 per cent confidence level +/- 4.3 per cent and statistically weighted according to age and gender to ensure a representative sample.
About Envision Financial
Envision Financial is a premier provider of banking, investment and insurance services for residents and businesses throughout the Fraser Valley, Lower Mainland and Kitimat regions. As a division of First West Credit Union, B.C.’s third-largest credit union with 54 branches and 40 insurance offices throughout the province, Envision Financial brings innovative products, an extensive branch network and local decision making to the banking experience. For more information on Envision Financial, visit www.envisionfinancial.ca.