People are largely shaped by the words and actions their parents impart to them when they are young.
Financial lessons are no exception; in fact, money attitudes and behaviors sink in before kids even reach kindergarten, according to a University of Michigan study.
That’s why parental modeling of good money management is important at all stages of childhood — especially for girls. Research shows that, in addition to a well-documented wage gap, women feel less empowered than men do when they think about their finances. And in the workplace, if an employee is, say, less assertive when it comes to negotiating compensation, that could result in leaving thousands of dollars on the table over the course of a career.
On the upside: Globally, when women are empowered to work and earn their own money, they can grow entire economies. And it can pay to bet on their success. Women-led investments and startups tend to get less upfront funding, according to a 2018 research study by Boston Consulting Group; however, those businesses generated higher revenue than startups founded by men.
In honor of Mother’s Day, Life and Money by Citi spoke with leaders of organizations that empower women and girls to find out what wise words these women want to pass on to their children, and the valuable money lessons they learned from their own moms.