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When Samantha Broxton’s husband unexpectedly lost his job earlier this year, the conversation at their dinner table quickly shifted from homework and weekend plans to budgets and spending. Instead of shielding their teenagers from the stress, Broxton and her husband invited them into the financial reality of the moment.
The Broxtons explained that eating out would happen less often, savings needed rebuilding, and that the family would have to be more intentional about money. While the news wasn’t exactly comforting for their kids, Broxton—who runs RaisingSelf.com, a parenting platform—felt it was the right move.
“Kids are going to notice your change in behavior, your pauses, your ‘no’s,’” she said. “Not talking about it is more likely to cause them to be suspicious and anxious.”
Her approach reflects something many parents say their teens are missing: financial preparation for adulthood.
Parents Are Worried—and With Good Reason
A recent survey of 1,000 parents of teens ages 14 to 18 revealed only 8% believe their kids are extremely prepared to handle money as adults. Just a year ago, that number was 18%. The dip comes at a time when the U.S. economy feels shaky and families are facing higher costs of living.
Danielle Sherman, CEO of Wired Research, which conducted the survey, says the decline makes sense. “If parents are feeling uncertain about their own financial footing, it naturally follows that they feel less confident in how prepared their kids are,” she explained.
What Families Talk About—and What They Don’t
The survey showed that while most parents do discuss savings with their teens, many stop there. About half admit they’ve never talked about budgeting, managing a bank account, avoiding debt, or building credit. Even fewer have touched on big-picture topics like insurance, taxes, investing, or long-term financial planning.
Still, nearly all parents—98%—say it’s their responsibility to teach kids about money. And 97% believe it’s one of the most valuable gifts they can give their children.
Why Honesty Helps
Sherman suggests that parents open up about their own financial wins and mistakes. Whether it’s explaining how overdraft fees piled up or why sticking to a budget matters, she believes normalizing these conversations is key.
“These are not easy talks, but they could be the thing that helps your teen avoid repeating the same financial cycle,” she said.
Broxton agrees. While her teens felt uneasy at first about the job loss, she noticed that being transparent allowed her to reassure them: the family had a plan.
Simple Ways to Teach Teens About Money
Teaching financial skills doesn’t have to be overwhelming. Here are some approachable strategies parents like Broxton, Sherman, and others recommend:
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Allowance with responsibility: Instead of weekly handouts, Broxton gives her kids a monthly allowance. They’re expected to budget, plan, and set some aside for savings.
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Let them learn from mistakes: Saving up for something and then realizing how quickly the money disappears is a powerful lesson teens won’t forget.
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First job lessons: A part-time job is a great chance to introduce teens to paychecks, taxes, and the difference between gross pay and take-home pay.
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Make money visible: At dinner, point out the cost of the meal. After a vacation, explain how long it took to save up. Everyday life is full of teachable moments.
The Bottom Line
Parents may not feel their teens are ready for the financial realities of adulthood, but avoiding the topic doesn’t help. Instead, weaving money lessons into daily life—whether it’s setting a budget, understanding taxes, or saving for something special—prepares kids for the independence they’ll need.
As Broxton put it, “The world has changed significantly. The best thing we can do is help our kids be intentional, too.”
