[Today's is my sister, Lolu's birthday. And this article is dedicated to her. It's my birthday gift to her (she understands. lol)]

You know many people prepare to have a child biologically, physically and emotionally but they never really fully prepare to have a child, financially. Yes I know some people don’t even prepare at all, they just have sex and find out that a child is on its way without their permission.lol

In Nigeria, we just have children, especially up North where you can see a poor family with 7-10 children.

It seem Nigerians live by a principle:
Deliver first, then God will provide the money for the child's upkeep! (we can be very religious. lol)

But that is not a good financially savvy way of living, especially people who want the best for their children.
Let me first share some statistics with you. (Note that while the surveys were carried out abroad, it does not mean it is non-applicable to Nigeria, some issues are universal).

Statistics show that:

Parents lie to their kids about money

T. Rowe Price’s study “Parents, Kids & Money Survey” results from interviewing more than 800 children ages 8 to 14, in addition to 1,008 parents (split evenly between moms and dads).
Found that parents have just as tough a time talking money with their kids as they do teaching them about sex.
One-third of parents reported that they avoid conversations with their children about money.
77 percent of parents said they aren’t always honest with their kids about money, with 15 percent not telling the truth at least weekly.
43 percent of parents report being dishonest about how worried they are about money, while 32 percent tell kids they can’t afford something when they really can.

Children wish their parents taught them more about money

The Parents & Money survey was conducted by Kelton Research, a research consulting firm, on behalf of Schwab.
Asked to identify the topics they wish they had learned more about when they were teenagers, the greatest percentage (57%) choose “money management.”
More parents describe their teen as a “Quick Spender” (60%) as opposed to a “Stellar Saver” (40%).
Only one in five parents (20%) involve their teen in family budgeting and spending decisions “to a great extent, so they can learn by doing.”
One in five parents (20%) admit they are “not very savvy,” and a handful (5%) say they are “not at all savvy.”More than two-thirds (69%) of parents feel less prepared to give their teen advice and guidance about investing than they do the “birds and bees.”

So how should you prepare to have a child, financially?

1. Decide now how many children you want to have. An essential part of financial planning is knowing exactly how many…. If you were going to, say, buy a car, you could put away an amount of money and then try to decide which car to buy. But it is wiser to choose the car you want first and then find out the price and save towards it. If you discover it is expensive, and you can’t afford it, then you go for a cheaper one, or buy another brand entirely.

Most people will plan on buying a car but won’t plan on raising their kids.

Let’s say you decide you want to have 3 children, then you will also already give them names, e.g Michael, Grace and Sapphire. That is taking your preparation to another level. You call them by name even before they are born, and begin to plan actively for them as if they are already alive, because really, they now are…in your heart!

2. Read good books on personal finance and money management, or follow blogs like this to know more about how to handle your money properly and God’s way. And do the teachings! What’s the use of reading and not acting on the information?

3. Start to save for each child separately. No matter how little, put something aside. That means like in the example above, you will save for Michael, and for Grace and then for Sapphire individually. It is particularly important to start before you get married, because in Nigeria couples have their first child on the average, 9-10 months immediately after the wedding.

4. Lead them by example, of being a faithful money steward yourself. Children don’t do as we say, they do as we do. If you want your children to be better money managers, then be one yourself. It is easier to lead by a good example than by preaching and shouting and cajoling and canning your child.

5. Then trust God. Now this is coming last on this list, and not first because I know Nigerians typically have their lists lopsided. If you fail to plan, you are planning to fail, whether or not you have God on board. And note that, not having money/cash is not an excuse not to plan. When God sees your plan, he will bless that and help you achieve it. What he doesn’t want is for us to plan and leave him out of the whole picture, and I am sure he also doesn’t want the opposite- NOT PLANNING AT ALL AND LEAVING THE WHOLE PICTURE TO HIM.

I know many Nigerians will beg to disagree with me, but with the economic situation of the country, it is wisdom to plan to raise financially savvy children by deciding how many you want to have ahead, reading good books about money and personal finance management, including following this blog, saving for each child you plan to have and finally trusting God with your plans and purposes.

For further reading,

1. Smart Money Smart Kids by Dave Ramsey