PORTLAND, Ore. (KOIN) – As experts say it’s important to have the money talk with family, a financial advisor is sharing tips on approaching these conversations.
“The money talk is really about having a productive conversation around a life transition with the various family members that are involved,” author and financial advisor Lori Sackler said. “People will make decisions in response to events in life without carefully considering the consequences and without speaking with the family members that will be included. And what we find is there’s typically a breakdown in communication, and trust, and a loss of family harmony and even money.”
Sackler emphasizes the importance of finding out what money conversations to have with family and establishing how to reach financial goals.
The financial expert also noted the difficulty of having the money talk, explaining the “discussion of money is a taboo. It’s an object of threat and control for a lot of people.”
When approaching money talks with family, she advises approaching it like a job interview or work presentation with the goal of transparency.
When it comes to having the money talk with kids, Sackler recommends talking to kids about money when they are around 10 years old and setting up an allowance or having conversations about how much products cost.
Sackler’s book “The M Word: The Money Talk Every Family Needs to Have about Wealth and Their Financial Future” is available now.