Barefoot kids

In 2016 I wrote a book called The Barefoot Investor which went on to become a bestseller. And the number one question people asked me after I wrote it was:

“Why didn’t I get taught this stuff at school?” So, I set out to answer that question. It took me on a two-year journey heading into private schools, public schools and remote schools, talking to students, teachers, parents and politicians. And what I learned was… we need to do better… a LOT better.What we’re currently doing isn’t working. Too many kids graduate at the bottom of the financial class, into a lifetime of debt, with little understanding of the contracts they’re signing. We need a financial revolution in this country, and it needs to start with our kids...

There's no doubt, when kids become adults they are tested on money skills every single day of their lives. Yet most of us had to learn these skills the hard way, because we were never taught them in school. After years of research, Barefoot Investor Scott Pape (whose books for adults and families have sold millions of copies and counting) has now written a guidebook you can hand straight to your primary-school-aged kids to help them start their financial journey through life the right way!

It's time for your kids to roll up their sleeves, get their hands dirty, and learn the value of a buck the old-fashioned way.

We chat to Scott about this new book, his inspiration behind it and why kids shouldn't be paid to unload the dishwasher! Your new book Barefoot Kids takes all of the guesswork out of teaching kids how to be financially savvy. What inspired you to write it? I’ve spent years trying to get financial education taught as a compulsory subject in schools. However, for all my efforts, I basically failed. Still, I passionately believe that learning about money is the one exam that every kid will be tested on every day of their lives. It’s a core life skill we all need to know.

So, I wrote this book as a way of bouncing over the educational bureaucrats – by putting it into the hands of kids across Australia. The kids that are in the book are totally inspiring as well; they’re absolute champions. Each of them is having their own EPIC money adventure.

‘Giving back’ features prominently in this book as in your others. Why is it such an important value for you and what do you think it brings to managing your money wisely? It’s pretty simple: the happiest people you meet are the givers. The biggest fear most parents have (including me!) is that our kids will grow up to be entitled brats. If you were born in Australia, you’re already part of the 1 per cent. Giving gives everyone (including kids) perspective on how good they’ve got it. It also builds empathy and gratitude. That’s why I say in the book ‘kindness is a superpower’ – because it absolutely is.

What is the best thing parents can do for their children financially? Give them my book! So, I know that sounds totally obnoxious, but hear me out: Every parent has tried to talk to their kid about money. Every parent has done pocket money. Every parent has seen it fizzle out, and then resorted to nagging, scolding, and bribing. My book is kind of unique: it talks directly to kids and invites them to roll up their sleeves and go on an EPIC money adventure where they call the shots.

The parents are always in control – they always have the final say – however, the book does all the hard work and answers all the tricky questions. The overwhelming feedback I get from parents is they are so damned proud of what their kids have achieved after they make it through all the Barefoot Steps.

The book features inspiring stories of children who are more financially savvy than most parents. What are some of the biggest takeaways you learnt from these children? 1. The biggest one is just how much FUN these kids are having. Their enthusiasm is totally infectious. Parents tell me they get swept up in it too, because they see how much fun their kids are having. Contrast this to the nagging most parents do about chores. 2. It builds confidence like nothing else. The Barefoot Kids tell me they feel older and more confident because they’re actually proving to themselves how smart they are. 3. It’s a myth that kids don’t like working, or learning, or getting outside and doing stuff. These kids come up with their own ideas. It not only builds their creativity, but also their resilience when things don’t go to plan. 4. Kids will find a way. When I was growing up, working out how to do something was often difficult. These days, kids simply go on YouTube to quickly work out how to do most things. They’re very good at finding solutions, and they come up with ideas I’d never think of.

5. They don’t have the same hang ups as adults. Kids are blank slates when it comes to money. The concrete hasn’t set on their behaviours, so they have the ability to build their confidence and wealthy habits from the get-go. That’s probably the thing that excites me more than anything.

Why do you think parents shouldn't pay their kids to do the dishes? Because you don’t want to raise a kid who sees everything as a financial transaction. Here’s how I explain it in the book: Kids, I want you to imagine for a second that you’re really hungry. ‘What’s for dinner tonight, Mum?’ you ask. ‘You’re in luck, we’re having your favourite … spag bol!’ she replies. She places the steamy, saucy plate down in front of you. Just as you’re about to dive in, she sticks out her hand and says: ‘That’ll be $22, thanks!’ ‘YOU CAN’T BE SERIOUS!’ you scream. Okay, can you imagine if your mum did this? She wouldn’t of course—partly because she gets worried when you’re hangry but mostly because she loves you and this is what families do: they pitch in and help each other. This is the same reason you should not expect to be paid for absolutely everything you do around the house. In fact, if your parents are going to pay you some pocket money to

do your jobs, you really should also do some things just to help out. Like what? Like making your bed each morning, like clearing your plate after every meal (including spag bol), like putting your clothes (including your stinky socks) in the laundry basket. My top three 'Parent Pleasers' are: 1. I will make my bed every morning; 2. I will clear my dishes after every meal and 3. I will put my clothes in the laundry basket when I take them off

Now let me tell you three reasons you should do these three quick, simple Parent Pleasers: First, I guarantee you that within a week you’ll just do them automatically. It won’t take any effort. Second, if you do these three things, your parents will nag you way less. Third, and most importantly, your parents are going to notice when you start doing the Parent Pleasers, and be really proud of you. Trust me, this will help sweeten the deal when you start asking to be paid for other jobs. Scott, your book breaks saving into Saving, Spending and Giving. Tell us a bit more about that. You may remember in The Barefoot Investor: The Only Money Guide You’ll Ever Need, I introduced the concept of three money buckets. It’s fair to say it changed the way millions of people managed their money (in fact, some banks even ripped off the idea!). With Barefoot Kids, each money bucket teaches a money behaviour: There’s something life-changing that comes from saving up for a goal. It’s great to be a savvy spender (after all, no one likes being around a total tightwad). It’s awesome to give and help people (the happiest people in life are those who give).

Explain why you think Australia needs a financial revolution and why it needs to start with our kids? Whether we like it or not, money colours our entire life. The fact that we don’t teach kids the basics, means many kids end up repeating the same mistakes their parents made. We’re the richest nation on earth, according to the latest wealth report from Credit Suisse. However, we also have some of the highest levels of household debts in the world. We are the lucky country, but for how much longer? Scott Pape lives with his wife, Liz, and their four kids on their family farm in country Victoria. His brand new kids’ book, Barefoot Kids, is breaking records everywhere! Written in a unique visual format, Barefoot Kids features 45 inspiring money stories from Australian children, fun projects, rewards and real-life stickers. Kids will roll up their sleeves, get their hands dirty, and learn the value of a buck the old-fashioned way. Barefoot Kids, RRP $29.99 is available online and in all good bookstores.