Money Can Be Taught. So Why Don’t We Do That?

This post is adapted from YNAB’s twice-monthly newsletter, Loose Change.

If you wanted to teach your kid to swim, how would you do it?

It’s not really a mystery. What we call swimming is a set of skills: floating, kicking, rhythmic breathing, etc. If you’re not prone to migraines, sit in the stands at your community pool on a Saturday morning and you’ll see instructors breaking down complex strokes into smaller movements, supporting a students’ head as they learn to float, and encouraging them to have fun (but also, two hands on the wall!).

We have a whole pipeline of pools, swim schools, and rec teams for turning landlubbers into swimmers. Isn’t it weird that we don’t have anything remotely comparable for teaching people how to spend and save their money?

Maybe this sink-or-swim approach to personal finance is because we don’t believe it can be taught. Maybe people who are ‘good with money’ are born with some special character trait that directs them from one successful decision to the next. Or maybe the phrase “personal” finance isn’t a description, it’s a warning: keep your money life private.

But the mystery around money isn’t helping anyone (other than organizers of expensive retreats promising to impart “the secret”). Because people will explain their struggles or stress with money as a sign that they are incompetent, hopeless, or [insert preferred negative self-belief].

But money isn’t a test of one’s character any more than learning to swim is. (People generally don’t take their lack of backstroke personally.)

It’s time to  break down the habits and skills that could help someone get good with money and build a thriving, intentional financial life. When we hold back from talking about how we keep track of our money, pay for our expenses, and plan for goals, we keep these vital activities in the dark. Instead of empowering the next generation, we pass on an inarticulate ball of stress and shame.

What are we worried about? That people might have a sense of how much money we earn or have? That our duct tape, improvised money habits will look awkward in the light of day?

We give novice swimmers the grace to flail or hug a barbell because they are learning. I’ve been swimming my whole life, played aquatic hand-soccer in college (water polo), and I’m still refining.

How we use our money is an ongoing search for alignment. There is no state of perfection or end to the journey.

At YNAB, we practice and teach a method to get good with money because, over 20 years ago, someone was thoughtful and caring enough to break down an opaque process. You don’t even need to fly to an exclusive retreat to learn it. It’s right here.

‍Have you ever worried about money? You’re not alone. Get YNAB, get good with money, and never worry about money again.

Good With Money: A Look at Real YNABers

Michael writes in from the great state of Michigan about saving for fertility treatments and seeing Taylor Swift in concert:

My wife has struggled with several years of infertility, which has led to a bit of medical challenges, including two surgeries, lots of appointments, labs, medicine, and all that comes with it. YNAB helped to keep track of everything and see the whole picture in one place and realize we could handle it.”

Recently, “We decided to go through some fertility treatments and try to start our family. Hopefully it goes well, but we can confidently enter this process without finances being a burden or concern that limits what we are able to pursue.”

In the midst of all of this, we…
– Bought a house and moved twice in three years.
– Cash-flowed lots of fun home improvements and fixer-upping.
– Still made sure to have fun along the way… somehow we had fun money laying around, so we jumped at the chance to get tickets to the Taylor Swift Eras tour and take a trip to Chicago!

#1 guilt-free expense? Concert tickets and ice cream—sometimes together, sometimes separately.