Saturday, November 7, 2009

Explaining a recession to your child

Dear Readers,

Life happens. Many of us are experiencing the effects of the recession first hand with the loss of an income from yourself or spouse. Look at life like it is a series of math problems.

Like a math problem,first evaluate the situation. You will now be a one income family, therefore adjustments will have to be made until the income(s) can be replaced.

Second, make adjustments, in a math problem this would be where you would set the problem up in order to determine which method to use to work it out.
You may have to cook more often instead of eating out.
You may have to learn to live without some of the finer things in life that you thought you could not live without.
You may have to start clipping coupons to save money on groceries and other items.
You may have to become a one car family because there is not enough money for maintenance for the second car.

Third, explain the problem, in a recession, the child(ren) will also feel and see the effects. What do you tell a child when they notice that Mom or Dad does not get up for work anymore? How do you explain the loss of a job to your child? They will see the effects when they do not see the refrigerator full of food anymore. How will the child adjust to moving from their home in case of a foreclosure? How will the child adjust moving from the neighborhood and friends?

Explain to the child that things will have to change because there may not be enough money for movie night at the neighborhood theater. There may not be enough money for your all of your favorite items that you are allowed to purchase at the department or grocery store.

Your child will probably express saddness but give them a big hug and let them know you that you love them. And lastly, try to buy at least one item for them if possible. Even if it is something for a quarter out of the bubble gum machines.