Dad taught us to ride a bike and drive a stick shift. Whether by positive example (a change jar on the dresser) or through a cautionary tale of what not to do (toss the credit card bills), we also picked up money habits from our dads.
With Father’s Day approaching, I reflected on five important money lessons my dad passed down to me.
1. Value experiences, not things. Most of my dad’s fellow doctors bought lavish homes and drove flashy imported cars, but my family lived in moderate-sized homes and dad drove his Prius (he raved about its fuel efficiency!) for years. He took good care of the Prius and didn’t see a reason to buy a new car if his current one still ran safely. Instead of spending on cars and houses, my parents prioritized saving for a rainy day and spending on experiences such as family trips to the Grand Canyon or historical sites and cultural events such as concerts and museum visits.
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Michelle at Making Sense of Cents had a dad who also valued travel. In fact, science actually backs up the idea that spending on experiences brings more happiness than buying material goods, according to Fast Company. As a scientist himself, my dad would have approved.
2. Go the extra mile. Dad worked long hours and often covered for other people who needed time off for family issues or medical problems. He was never the type to clock out right at 5 p.m. on the dot, and often put in a little time on the weekends, so that instilled in me and my brother a strong work ethic that benefits us to this day. Over at The Shriver Report, Jackie writes about how her dad never took a sick day from work. Mine rarely did either. He’d stay home from work at the hospital if he might be contagious, but with a strong immune system and annual flu shots (a habit I’ve also adopted), that was rarely an issue.
3. Save up for the things you really want. Before I understood how money worked, I assured my dad that he didn’t need to go to work and earn money because he could just get money out of the beep-beep machine (aka the ATM). But as I grew up, mom and dad made sure I knew that money doesn’t just materialize, and credit cards or loans have to be paid back — with interest. In first grade, I desperately wanted an American Girl doll (Felicity), and my parents told me I’d have to save up the money and buy her myself if that’s what I really wanted. It took almost a year (an eternity at that age), but I’m sure I took much better care of Felicity and appreciated her more knowing I’d saved up myself.
4. Seek out affordable alternatives. As an impressionable kid, I was drawn to the CDs and movies on display at the mall. On one outing, I remember not having enough allowance money for the “Grease” movie soundtrack on CD, so instead dad found me the cassette tape (yes, I’m dating myself here) of “Grease” on Broadway. Mostly the same songs for half the price. As dad showed me, there’s often a cheaper way to buy what you want without a huge sacrifice if you’re willing to shop around. The library was another key source of entertainment throughout my childhood (and still is today). In addition to being careful with money, dad instilled in me a love of reading and history.
5. Learn to do it yourself. Most of my birthday parties (and Halloween costumes, for that matter) were do-it-yourself affairs long before DIY was trendy. For one birthday party, dad hand-stamped “limited edition” stationery for all my guests instead of sending them home with gift bags stuffed full of store-bought candy and trinkets. And together, we carefully selected wood scraps and pieces of fabric (often pulled from discarded books of curtain and upholstery samples), which we cut, sanded, glued and nailed together to create one-of-a-kind furniture for my Felicity doll.
DIY doesn’t always save money, but these father-daughter projects gave me the skills to assemble furniture, repair a fraying hem or make my own Christmas cards. Kerry Hannon writes on Forbes about how her dad stressed the importance of financial self-sufficiency.
Here’s wishing dads everywhere a happy Father’s Day!