What My Father Taught Me About Personal Finance

Key Takeaways

• 1. The lessons we learn about personal finance as children can make a difference to our financial future.
• 2. A holistic approach to personal finance means taking steps to save, grow and protect your wealth.
• 3. Father’s Day is a great opportunity to thank your dad for all the personal finance lessons he has taught you.

Everyone’s childhood is different, and so are the lessons we learn along the way. Whatever our upbringing, our parents’ financial habits can have a significant impact on how we approach our own wealth goals.

In my case, my father never liked to talk about money. “Money come, money go” was a phrase my father would often say if there were conversations involving money at the dinner table. Despite the cavalier tone, he was neither a spendthrift nor a miser. Ever the realist, he believed that having enough money was important, but true wealth lay in his ability to care for the family, pursue his passions and help others along the way. From simply observing my father throughout my childhood there were many lessons he imparted about personal finance - albeit in not so many words.

Now that I am an adult with children of my own, I often ask myself how my father afforded all of this. When my children are not begging me to buy the latest gizmo, I wonder how I’ll ever develop financial literacy in their youth so that they can make sound financial plans in the future.

Immediately, memories of my father flood my mind. Here are some of the ways I’ve put my father’s lessons about personal finance to good use.

My Father Taught Me to Save

Before my sixth birthday, I scribbled a wish list of items for my parents. At the top of that ten-item list was a brand new red bike.

On the morning of my birthday, I jumped out my bed ready to be greeted by the bountiful sight of gifts. To my great disappointment, there was only one small box wrapped in recycled gift wrap from Christmas.

“There’s already twenty dollars in there,” my father said in a gruff voice as he handed me my gift.

It was a piggy bank.

“Put all your birthday money together, save a little money every day, and you’ll have enough to buy at least one of the items on your wish list soon enough,” my mother added quickly.

Five months after my birthday, I had finally saved enough to buy the last item on my list. A new pair of shoes that I desperately needed, more so than a shiny new bicycle.

Recalling this, I realised this was my father’s way of teaching me about prioritising needs over wants, and saving for the things that matter. Although I was indignant at the time, the lesson I learnt as a six-year-old did not go to waste. These days, I recognise how a little planning can make a big difference in the long term. Tools like Citi’s Total Wealth Advisor help me set, review and monitor my wealth goals. I also track my income and expenses, to help balance my family’s competing financial priorities.

In addition to my father’s lesson, I have also learned through the school of hard knocks that when you understand your spending and saving habits, you can make informed decisions about your financial future. This is a lesson I wish to pass down to my children.

My Father Taught Me to Protect and Grow My Wealth

Many years after my sixth birthday, I got into an accident – ironically while cycling. As a wiry teenager bursting with energy, I sought the thrill of taking my second-hand road bicycle around Singapore’s parks at breakneck speed, despite my father’s warning. The breaks did not work perfectly but what could I do? It was the only bicycle I could afford. One day, I lost control of my bicycle as I sped across an uneven road. I could not brake in time and I flew off the edge of my seat.

The shooting pain of a fractured arm was nothing compared to the anxiety I felt about listening to my father’s “I-told-you-so’s”. I was sure he would expect me to pay for my mistakes. Afterall, I knew my father was a frugal and practical man.

Following the treatment, I mustered the courage to ask him about the bill – for the bicycle repair and of course myself.

“It’s covered by insurance,” he answered. “Now that you’re temporarily decommissioned, save up a little more, invest a little time to learn how to fix that bicycle up. And please, be careful.”

My father taught me that protecting your wealth is just as important as creating it. During my recovery, I realised that there was more to having wealth. At that age, I thought that my bicycle was all I had to my name. In fact, choosing which bicycle to invest in, and whether I was ready to put in the effort to fix up the bicycle, were things I should have thought about. Secondly, I grew to respect the foresight of my father. While he purchased an insurance policy well before witnessing my daredevil cycling stunts, his proactiveness ensured I received care when I needed it the most.

While my challenges these days are far more complex, I often look back at the lessons from these growing pains and think about how my father would handle them.

As a parent, I too take steps to protect my family’s future, like ensuring they have a roof over their head and providing for their education. Tailored insurance solutions are key to protecting what matters to my family and future-proofing our lifestyle. When I need more help, I know that Citi’s Insurance Specialists are there to guide me.

At the same time, I am far more conscientious about what I invest in. As a busy parent, husband and son, there are many considerations when it comes to growing your wealth through investing. I have been working on improving my financial literacy through content from Citi’s Life and Money. This has helped me learn about investing and other personal finance topics. Secondly, I ensure my investment plan for the long term matches my attitude towards risk.

My Father Taught Me that the Simple Things in Life Were the Most Precious

Despite the brusque conversations with my father, the best conversations we had were the ones where we took long walks in silence or worked on my mother’s garden with our hands. These simple pleasures gave him great joy and were truly his wealth. This is one of the most important personal finance lessons my father taught me: experiences with the people you love are priceless.

For all that you are, and aren’t, thanks Dad. Happy Father’s Day!

This Father’s Day, say thank you for all the life lessons by treating your dad to something special. Visit Citi World Privileges to find great deals to celebrate with the ones you love.

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