Should You Keep Separate Checking Accounts When You Get Married?

You found “The One.” You popped the question, and they said “Yes.” You both said, “I do.” Your honeymoon was incredible. Now, you’re back to reality and settling into your new life together. Suddenly, you’re faced with a wave of everyday decisions you hadn’t previously thought about. Who sleeps on which side of the bed? Which toothpaste should you buy? Whose parents will you visit at Thanksgiving? What about Christmas? Some decisions are trivial, but other dilemmas feel far more important. But then, when that first monthly bill shows up and you have to decide who pays it, you come face-to-face with one more crucial decision: Should you combine your finances and get a joint checking account?

For years, financial advisors and relationship gurus have sparred over the potential dangers and benefits of joining two individual bank accounts into one. The most challenging part of this debate is that both sides appear to make valid points, which can leave you and your spouse wondering what to do. Before we go any further, it’s important to remember that just as each person in a marriage is a unique individual, every relationship is different. And while it’s wise to seek counsel and take advice, you’ll ultimately need to figure out what works best for you. In the points to follow, we’ll set out to share a few perspectives that can help you determine the best way for you to build a financial foundation that works for your family.

The Case for Separate Checking Accounts

In an interview with CNBC opens in a new window, David Back, co-founder of AE Wealth Management, advised, “You should have your own account, both of you. It’s absolutely critical, especially for women, that you keep money in an account that’s yours that you control.” Citing the fact that almost half of marriages end in divorce, Bach and other like-minded financial professionals point to the fact that not only do separate accounts allow each individual to maintain their own financial identity; they also make it easier to divide assets if the relationship dissolves. If both spouses agree, the practice of keeping separate accounts can also serve to reduce the number of disputes over spending decisions. By allowing each person to manage the finances they bring into the relationship, this approach depends on the mutual trust that each person is managing their money in a financially responsible manner. And in a marriage, that kind of trust is essential.

The Case for Joint Checking Accounts

While many agree with the practicality of married couples maintaining separate bank accounts, several studies at the University of California suggest a completely different approach. Though financial independence may be a key factor in maintaining a sense of autonomy, the UC study indicated that marital happiness might be easier to achieve if both partners agree to combine everything—including bank accounts. After reviewing the results of their studies, the school’s researchers shared the following observation, “It is important for couples to perceive their possessions and financial goals as shared, and our research identifies one practical way to facilitate this: merging bank accounts.” While happiness is a subject that extends beyond the bounds of traditional financial advice, it is worth noting that your financial practices as a couple can have a powerful impact on your relational success.

The Case for Compromise

As with most things in marriage, figuring out your finances will probably involve some give and take. While some couples can thrive with separate bank accounts, others will find far greater satisfaction by pooling their resources in a joint account. However, if you’re still not sold on either idea, there’s room for compromise. It’s entirely possible for couples to have separate personal spending accounts and maintain a joint account for shared expenses like rent, insurance, utilities, and such. While this strategy requires a little more leg work and the need for open, consistent communication, that’s not a bad thing. After all, whether it’s in relation to finances or just married life in general, fine-tuning your communication skills is always a great idea!

Make Spring Cleaning Pay Off This Year!

Person mopping floors in kitchen

People sure do like their stuff. Whether it’s the latest tech gadgets or knick-knacks that have been passed down through generations, the things we own hold a special place in our hearts and homes. So, when our possessions pile up, as is their tendency, what’s the logical thing to do? That’s right—rent a self-storage unit. What? That’s not the answer you were expecting?  

According to a report by Sparefoot, one out of every 11 Americans pays for storage space to keep their overflowing belongings. That’s right, not only are people finding additional ways to store their things, they’re paying good money to do it—$38 billion a year, to be exact. Spending money to stow away various items you don’t need and will probably never use—seems silly doesn’t it? We agree. In fact, we think springtime is the perfect season to do the exact opposite.

Clean house. Cash in.

Over the past few years, de-cluttering has seen a spike in popularity, thanks in large part to proponents like Joshua Becker and Marie Kondo. While experts like Kondo preach the soul-cleansing benefits of getting rid of anything that doesn’t “spark joy,” we recommend doing it for an entirely different reason. Cash. Cold, hard cash.

Don’t get us wrong, we big fan of the physical and emotional perks that come from cleaning house, but we also believe that making a little extra money would make you feel pretty good too. If you’re inspired but unsure where to start, we’ve compiled a helpful list of everyday items that carry solid resale value and the best ways to sell them.

Electronics

Maybe you just upgraded to a new laptop, and you’re wondering what to do with your old (but not that old) one. Perhaps you switched mobile phone carriers and didn’t bother trading in your previous phone. Or maybe you’re staring at a CD/DVD/video game collection that has gotten way out of hand. Before you throw your hands up and your electronics out, see if you can sell them online through services like:

Clothing

Do you have a closet full of outfits you never wear? Have you changed your style but held onto all your old accessories? Did you purchase a new pair of shoes only to realize you already had an identical pair in your collection? Whether you’re creating a capsule wardrobe or just freeing up some space in your dresser drawers, you’d be surprised how many people would be willing to buy your gently used items. Millions of people have made some extra money by selling clothes and accessories via apps like the following:

Miscellaneous

Let’s face it; some things just don’t fit in neat and tidy categories. But that doesn’t mean they’re worthless. There’s an old saying that suggests “one person’s trash is another person’s treasure.” That doesn’t mean your stuff is trash, it just means that things you no longer use may be incredibly valuable to someone else. So, before you throw out that vintage nine iron, that dusty old vinyl collection, or your great aunt’s set of decorative collector plates, try listing them for sale on the following sites:

Once you’ve completed your spring cleaning, minimized your possessions, and made a little money in the process, you might be wondering what to do with your newfound cash. Whatever you do, resist the urge to go right out and buy more stuff! That will just start the problem all over again. Instead, why not contact your credit union and ask them how to make your money work for you? Our team of financial specialists can help you assess your current financial situation and determine how to take smart steps towards a brighter financial future.

Valentine’s Day on a Budget: How to Find Love & Laughs for Less

Teddy bear holding heart pillow

When it comes to the topic of Valentine’s Day, public opinion seems to be split. Some people love everything about it. Hearts, roses, candy, flowers, Cupid—you name it, they’re here for it! On the other end of the spectrum, you’ll find Valentine Scrooges who consider February 14th a day like any other. They’re convinced the celebration and fanfare are nothing more than Hallmark-sponsored money grabs. To be fair, these positions are extreme.

If you’re like most people, you probably enjoy spending the romantic holiday with your special someone, but you prefer to celebrate without spending a ton of money. Good for you. There’s nothing more attractive than someone who plans a financially responsible Valentine’s date. OK, maybe a few things—but you get the point. If you’re looking to create an inexpensive, fun-loving Valentine’s experience you’ll remember for years to come, we have a few suggestions you might enjoy.

Dress up and dine in.

At first, this suggestion may seem like complete nonsense. Why would you go through the trouble of getting dressed up if you’re not going out in public? Because there’s a strange, yet undeniable appeal to doing something that doesn’t make sense to anyone else, that’s why. So, go ahead—go big. Glam it up. Suit and tie. Gown and heels. The more overdressed, the better. Whether you cook for yourself or order your favorite takeout, the food choice isn’t nearly as important as the fact that you’re both ridiculously overdressed for the occasion. And that’s the point.

Dress down and hit the town.

Like the previous idea, this one involves an unexpected combination of date attire and meal selection—but with a completely different twist. Before the big date, you and your date head to the nearest thrift store (you can shop together or separately) and buy a complete outfit for the other person, spending no more than $10 in the process. The clothing selections can be as tacky and outrageous as you please—the tackier, the better. The only catch is that you both have to wear the outfits to dinner at a nice restaurant, no questions asked. If you play this one right, not only will you save money and enjoy your date, everyone around you will probably get a kick out of it as well.

Dollar store gift challenge.
You and your date can play this one a couple of different ways. The first approach involves heading to the closest dollar store and seeing who can find the single best/craziest/funniest/most ridiculous gift for the other person. The second option involves setting a spending limit and seeing who can rack up the most entertaining gift collection. (No need to go above $10. After all, it’s still a dollar store.) For a little additional fun, take some selfies with your newfound treasures, and share your pics on social media using the hashtag #DollarStoreScore. After your adventure, head out and grab some dessert. Since you did your Valentine shopping at the dollar store, you’ll have plenty left to cover a sweet treat or two.

Whether you use the tips above or come up with a clever idea of your own, being smart about your Valentine’s spending goes a long way towards ensuring your day is filled fun-loving memories instead of expensive mistakes. And when you’re wondering what to do with all your savings, don’t forget to stop by your credit union—they’ll be happy to help you find ways to make that money work for you. And let’s be honest, long-term financial stability is sweeter than a $10 box of chocolates could ever be!

Throw a Super Bowl Party That Doesn’t Break the Bank!

Football on grass

Now that Christmas and New Years are behind us, it’s time to plan for the next big holiday. That’s right—Super Bowl Sunday is just around the corner! As the NFL’s top two teams prepare to battle at Mercedes-Benz Stadium in Atlanta, the festivities leading up to the game will clearly show that the NFL has spared no expense in trying to make Super Bowl LIII the greatest championship game in history. When it comes to planning your Super Bowl party, we suggest taking a different—and slightly more sensible—financial approach.

8 ways to throw a budget-friendly Super Bowl party

If you’re looking for some ways to host a Super Bowl party that’s as frugal as it is fun-filled, here are a few of our favorite suggestions.

 

Start with a financial game plan.  Sounds better than “make a budget,” doesn’t it? Since Super Bowl parties are all about football, it makes sense to prepare like a coach. Setting a spending limit before you shop will help you stiff-arm the creative displays and impulse items at the grocery store. To quote Super Bowl-winning QB, Russel Wilson, “The separation is in the preparation.”

 

Team up with a co-host. Since football is a team sport, why not recruit a co-host to help you plan your party? Not only can the two of you share the cost of food and decorations, you’ll be able to split the stress of planning as well. Sounds like a win-win, doesn’t it?

 

Digital invites over classic invitations. Sure, Pinterest is packed with clever ideas for intricate Super Bowl invitations, but you know which detail those posts forget to mention? Postage costs. Rather than sending out old-school invites, create a Facebook event and share it with your friends or jump over to Evite.com, where you can design and send online invitations for free!

 

Downplay the decorations. Let’s face it, even though extravagant decorations might make impressive Instagram posts, people aren’t coming to your Super Bowl party to marvel at your elaborate sandwich stadium and coordinated team napkin displays. Don’t overdo it with the decorations. Dollar store party supplies are perfect.

 

Generic snacks: The Real MVP. Your guests will probably be snacking from the pre-game festivities to the post-game trophy presentation. What they won’t be doing is critiquing the subtle flavor undertones of your chips and pretzels. So rather than springing for brand name snack foods, grab the store-brand counterparts, serve them in a giant bowl, and kick back knowing you have money left in your food budget.

 

Encourage crowd participation. Food and drinks are usually the most expensive part of a Super Bowl party—especially if the beverages are of the adult variety. A pot luck meal plan and BYOB policy are great ways to ensure refreshment costs are divided evenly and everyone is guaranteed to have at least one dish they’ll enjoy.

 

Save big with Super Bowl promos. If you decide to provide all the food for your party, you might as well look for the best deals. Keep an eye on your local grocery store flyers, as they routinely run special sales on traditional party food. If you’re trying to stay out of the kitchen, our credit union is proud to support many restaurants and businesses in the local community, and many of them offer money-saving party promos. Feel free to ask us for recommendations!

 

Make post-game meal plans. You plan, prepare, and present a spread of tasty food for your guests. Then, when the game’s over, you have to figure out what to do with the leftovers. Fortunately, game day favorites like burgers, chili, and sandwiches can make delicious meals for a few days after the big game. This makes meal planning easy and lunch costs less expensive.

 

With a little creativity and some careful planning, it’s entirely possible to throw a great party without throwing away money in the process. Whether you use all these ideas or just a few that work for you, following these tips will help you host a winning party without spending more than you should.

Brace Yourself: Santa Shock is Coming

Santa with shocked look on face

Let’s talk about Santa Shock, shall we? No, not the “I saw Mommy kissing Santa Claus” kind. For this conversation, we will use “Santa Shock” to refer to that icy sense of regret that creeps in when you open those first post-Christmas credit card bills. If you’ve ever blown past your self-imposed holiday spending limit, you know exactly what we’re talking about.

The realization that you racked up additional debt can be an isolating frustration—something you’d rather keep to yourself, but it might help to realize that roughly 77% of Americans admitted to crashing through their respective financial barriers opens in a new window just like you. We know, we know. You don’t want to celebrate other people’s bad decisions, but when it comes to financial challenges, misery may not love company, but it kinda likes having it around.

You overspent. Now what?
Let’s face the facts. Once the gifts have been opened, the holidays have passed, and the bills roll in, your budget may be a little tighter than you’d like. When you’re faced with those oversized balances, it can be tempting just to make minimum payments and figure out your finances later. But thanks to those pesky credit card interest rates, that approach not only makes the problem last longer, it also makes it more expensive. This year, why not get creative and recover from Santa Shock as quickly as possible?

3 Practical Tips for Paying Off Holiday Debt
If you want to pay off your holiday debt sooner rather than later, try these simple ideas to free up some funds and get your budget back on track:

Cut cable. Since the average cable bill is roughly $107 per month opens in a new window, this step doesn’t require much of an explanation. Unless you’re in the middle of a long-term contract with early termination charges, canceling your monthly cable subscription can save you more than $1,000 per year—more than enough to pay off all or most of those holiday debts. And with affordable streaming options like Netflix and Hulu, you can still keep up with many of your favorite shows.

Closet clean out. If you got new clothes for Christmas, you have to make room in the closet, right? Instead of packing them away, gather up your gently used items and try to sell them online opens in a new window. Apps like ThredUp, Poshmark, OfferUp, and Facebook Marketplace make it incredibly easy to reach thousands of potential buyers without leaving the comfort of your home.

Meal prep for a couple of months. Everybody has to eat. There’s no way around that. And while dining out is convenient, it can also end up costing you more than you realize. Depending on where you live, a single meal at a restaurant can set you back $10-12. If you go to a restaurant more than once a day, you may be spending far more than you need to. By planning ahead and preparing meals in advance opens in a new window, you can save on dining costs and redirect some of your food budget toward your credit card balances.

We’ve already established the fact that it’s fairly common to go over a holiday budget. However, sometimes we get carried away with the yuletide spending and wind up over our heads financially. If you find yourself deep in debt and unable to find a way out, don’t be afraid to ask for help. Our team of financial specialists can help you assess your current situation and then recommend the best programs, products, and solutions for your specific needs. With our help, you might even be able to avoid Santa Shock altogether next year!

Fact vs. Fiction: What Really Impacts Your Credit Score?

Backpack with pin that says facts matter

When it comes to credit scores, it can seem like everyone’s an expert. Ask a random group of people what factors affect your score the most, and you’ll likely get a different response from each person. And the most frustrating part is they’ll probably all be right—and wrong.

Credit scores are calculated based on a variety of factors, so they tend to feel like a secret code. Fortunately, this code is easy to crack. All you have to do is separate fact from fiction. Once you understand the specifics of how your score is determined, it will be easier to sort through all the misinformation.

Focus on the Facts

There are three primary credit reporting bureaus—Equifax opens in a new windowExperian opens in a new window, and Transunion opens in a new window, but the most trusted credit ratings come from the Fair Isaac Corporation (FICO). While some lenders and creditors look at a combination of scores from the various reports, the FICO score is widely considered the most reliable. According to FICO experts opens in a new window, your credit score is calculated based on five main categories:

  1. Payment history (35%) – Creditors want to be sure of two things: You pay your bills, and you pay them on time.
  2. Amount owed (30%) – To maintain an ideal credit score, aim to keep your overall debt under 30% of your total available credit.
  3. Length of credit history (15%) – Lenders want to see consistency in credit management. This category looks at how long you’ve had established accounts. The longer, the better.
  4. Credit mix (10%) – Credit scores factor in a wide range of accounts, from credit cards and retail accounts to mortgages and installment loans.
  5. New credit (10%) – Opening new credit accounts isn’t always a bad thing but applying for several all at once can have a negative impact on your score.

 

Six Common Credit Score Myths:

Checking your credit hurts you. – When you apply for a new loan or credit card, the lender runs a credit inquiry. Too many of these inquiries in a short period can cause your score to dip. However, checking your own credit doesn’t damage your rating. In fact, many credit card companies allow account holders to view their FICO scores for free because regular monitoring is an effective way to spot fraudulent activity or identity theft.

Your income level matters. – While your income certainly influences your ability to pay your debts, it doesn’t factor into your score. Credit reports may list your current and former employers, but that information holds no bearing on your score.

Your education or occupation is important. – It doesn’t matter whether you went to an elite university, community college, or dropped out of high school. Your credit score measures your ability to manage debt, not your educational pedigree. Same goes for your job. Gainfully employed, under-employed, or unemployed, you can still build a good credit score.

Closing a credit card will help your score. – Even if you pay off a credit card, closing the account can hurt you more than it helps. If you’re worried that you might misuse the credit, destroy the card—but keep the account open. The available credit and length of credit history will reflect positively and help you in the long run.

Quick fixes can help bad credit. – Yes, it is possible to improve your credit score opens in a new window—but you don’t have to pay someone else to do it for you. Because most credit repair relies on sensible, strategic steps applied over time, you can handle it on your own. Rather than paying a credit repair service, use the money you save to bring past due balances up to date or pay down your overall debt.

Avoiding all debt will help you keep a good credit score. – Your credit score is a metric that measures your ability to manage credit—not avoid it. If you don’t have any credit accounts, there’s nothing to measure. That being said, just because you qualify for credit doesn’t mean you have to max it out. You’ll help yourself more by using your credit strategically and paying off your balance each month.

While this list covers some of the most common credit score myths, there are countless others. By focusing on the facts and ignoring anything that doesn’t line up with them, you’ll find it easier to manage your credit with confidence.

Three Simple Suggestions for a Budget-Friendly Halloween

Outdoor skeleton halloween decorations

Think back to when you were a kid. What was your favorite thing about Halloween? Was it the costumes? The candy? The spooky decorations around your neighborhood? All the above? Now, think about your little ones. Which Halloween traditions excite them most? There’s a pretty good chance they love the same things you did.

That timeless trio of candy, decorations, and costumes account for more than 80% of Halloween spending. How much do people actually spend on Halloween? According to a National Retail Foundation survey, Americans spent an estimated $9.1 billion opens in a new window in 2017, and the number is expected to top $9 billion again in 2018.

From shopping for the newest costume to overspending on premium candy for trick-or-treaters, it’s easy to get caught up in the fright-filled fun and spend more than you intended. So, how do you give your little ones a Halloween filled with fantastic childhood memories without blowing up your budget in the process? We’ve got a few ideas.

Three Tips for Saving Money This Halloween

By following these tips, you can save money on candy, decorations, and costumes and help your kids enjoy a Halloween that’s a little less trick and a lot more treat:

Candy

Based on the survey mentioned above, a whopping 95% of Americans plan to buy candy this Halloween. If you’re looking for easy ways to save, steer clear of the brand name selections and buy in bulk. If you’re trying to be that house, the one all the kids talk about because you’re the ones that give out the “good stuff,” be sure to scan local sales and be patient. Stores will often discount candy on Halloween morning. A little last-minute shopping can give you the chance to get more for your money.

Decorations

Hosting a Halloween party for your friends? Instead of rushing out to a specialty store and buying elaborate displays and mass-produced trinkets, add a personal touch by letting your kids design decorations of their own. You may not win any neighborhood decorating contests, but your children will love showing off their handiwork to all their guests! Need some suggestions to get your family’s creative juices flowing? The home decorating experts at HGTV opens in a new window can help you scare up a great idea!

Costumes

When it comes to finding great deals on Halloween costumes for your children, thrift stores are your friend. If you shop early enough, many second-hand stores will have a selection of costumes that were only worn once or twice before the previous owners outgrew them. If you’re getting down to crunch time and you don’t have your kiddo’s costume figured out, Pinterest opens in a new window is a great place to find creative DIY ideas. And if your costume design project doesn’t turn out as perfectly as you hoped, don’t worry—nobody will notice because trick-or-treating happens in the dark!

Now, before you get carried away with crazy ideas about how to spend all the money you saved this Halloween, remember, Halloween savings can help ease the financial stress of Christmas shopping. That’s right, Christmas shopping. Once Halloween is over, there are only 54 shopping days until Christmas. Now, THAT is scary!

Financial Fitness Helps More Than Just Your Money

Lady walking and stretching on trail

When you hear the word “fitness,” what comes to mind? Gym memberships? Weights and treadmills? Lean, muscular athletes? Credit unions? If that last option seems out of place, it’s probably because your brain automatically equates fitness with optimum physical health. When you consider the global health and wellness industry generated more than $3.4 trillion opens in a new window last year, it’s easy to understand the tendency to think that way.

According to dictionary definitions, fitness refers to the ability to accomplish a specific task or purpose. With this perspective, it’s clear that physical fitness and financial fitness have some commonalities after all. Both types of fitness provide a wide range of personal benefits. Accomplishing goals in either area requires consistent effort, experienced guidance and efficient tools.

Consistent Effort — Fad diets and miracle cures will never lead to lasting physical fitness. Taking definitive steps toward an established goal is the key. This principle applies to finances as well. From budgeting to saving to investing, following healthy financial habits on a consistent basis leads to long-term success.

Experienced Guidance — Have you ever gone to a gym for the first time and wondered how to set your goals or structure a quality workout plan? If so, you know how valuable an experienced coach or trainer can be. That’s where Great Meadow FCU comes in. With our team of experts, it’s easy to find a financial coach who can help you set goals and create a plan to accomplish them. And the best part? We don’t charge for it like the gym does.

Effective Tools — When you’re working toward a physical goal, the right equipment can make all the difference. If you’re trying to increase your flexibility, a basic yoga mat should be enough. If you’re trying to improve your bench press, you’ll need a barbell and bench.

Depending on your financial situation, your needs might range from budgeting help and savings accounts to business solutions and investments options. GMFCU offers the perfect blend of products and services to help you accomplish your goals.

On the surface, physical fitness and financial fitness may seem like separate subjects. But science has shown that being balanced and healthy in one area affects the other areas of your life. Thanks to this overlap effect, there are benefits to your physical well-being when you are financially healthy opens in a new window. Start enjoying the benefits.

Uber Looks to Change the Travel Game. Again.

Uber driver in car

Visiting new places is fun. Feeling like a tourist is not.

With the upcoming release of the Uber Local service, Uber is doing all it can to help you feel at home no matter where you travel. The popular ridesharing service has been solving transportation challenges across the world since 2009, and now they’re stepping up their game to help travelers feel more like locals when they’re away from home.

Real-time data enables personalized service.

When you consider the fact that Uber boasts more than 40 million monthly riders, you quickly realize the company compiles massive amounts of travel-related data. Pick-up points. Drop-off locations. Commute times. Time of day. Average mileage. The list goes on. But rather than being content to let all that information sit in a server and gather figurative dust, Uber Technologies Inc has decided to leverage the data and help riders find current hot spots and popular points of interest.

In a recent interview, Alex Otrezov, Uber’s Head of Search and Experimentation, explained the goal of Uber Local by stating, “We use real-time data of our trips, obviously in an aggregate way, to show the hot spots to show where most Ubers are dropping people off. Whether points of interests or restaurants, whatever it may be, we want to make sure that we share that data with our users.”

Make your Spring Break even better with Uber.

With Spring Break just around the corner, you might be one of the millions making plans to get away for a few days. Whether you’re heading to the big city or the beach, there’s a good chance an innovative product like Uber’s personalized operating system would make it easier to find local points of interest that used to require knowing someone who lived in the area.

Once Uber Local officially hits the market, you won’t need to “know a guy” to find trendy NYC restaurants or track down the hottest events in Daytona Beach. All you’ll need is Uber. By utilizing mountains of transportation data and the latest A.I. technology, the world’s most popular ridesharing service will deliver a user-friendly service that tracks shifting trends, provides up-to-the-minute recommendations, and lets you travel like a local. 

Teach Your Kids to Make a Stand – A Lemonade Stand

Lemonade for sale sign

Long before Beyoncé transformed it into a cultural touchpoint, lemonade was the commodity of choice for childhood business ventures. Perhaps you had a lemonade stand of your own, or maybe you just knew someone who did. Either way, the memories of ice-cold refreshment probably ride on a warm wave of nostalgia. If your enterprise was especially successful, you might even hear a faint “cha-ching” as you reminisce. 

Fast forward a decade or two, and now you find yourself juggling the demands of family, friends, and career. Thanks to the latest technology, it’s easy to let your kids spend their weekends drifting along on a digital stream of Snapchat streaks and Fortnite marathons. You have a perfect opportunity to shake up your child’s routine with a little old school entrepreneurship. It’s time to bring back the lemonade stand. 

Let your kids in on the fun.

When you were young, running a lemonade stand didn’t feel like a job – it felt like freedom. So, don’t worry that encouraging your children to work will somehow rob them of their weekend fun. The venture can be fun, and the lessons they learn from operating a small business can last a lifetime. What lessons? Glad you asked! 

Goal setting

Believe it or not, this one comes pretty naturally to kids. If you ask them what they want to do with the money they earn, they’ll probably have at least one goal already in mind. It may be a video game, a bike or new clothes, but whatever it is, their motivation won’t be hard to find. When they finally save up enough to buy what they want, the sense of accomplishment will be something you can build on for the rest of their life. 

Entrepreneurship

Operating a lemonade stand is an excellent way to help your children learn that it costs money to create something. After all, lemons and sugar aren’t free. Understanding economic concepts opens in a new window like the cost of goods and profit margins will give your kids a valuable perspective with real-world applications. As they plan their drink prices, let them decide what to charge. Positive or negative, the lessons they learn from experience will help them with future planning. 

Responsibility

Like many things in life, lemonade stands are super fun at the beginning! But after a few hours sitting in the sun, there’s a pretty good chance your little entrepreneur will want to close up shop. While it may be frustrating (for you and them), this scenario provides an excellent opportunity to teach them that you can’t just walk away when you get bored. And let’s be honest, we can all use this reminder from time to time, can’t we?

Creativity

Challenge your child to think about how to separate themselves from their competition. (Of course, this may be hypothetical competition since modern-day lemonade stands are few and far between.) Depending on their age, your little one may focus on colorful sign design at first. This focus is understandable, since making the sign is half the fun. But beyond that, feel free to offer creative suggestions. Could they provide a sugar-free alternative? Maybe offer an iced coffee alternative to appeal to more customers? How about spreading the word with a social media post? Should they accept payment through Venmo or PayPal? Like a child’s imagination, the options are limitless. So is the fun! 

At this point, you may feel like opening up a lemonade stand whether your kids are interested or not! Channel that excitement and energy into helping them see the fun-filled potential of the idea, and don’t be afraid to get in there and help them when they need it. The time spent together will be even more valuable than the money earned and the lessons learned.