The Cost of a Puppy-Financial Freedom-Financial Mindset

A one-time expense vs an ongoing cost. Do you know the difference? In this financial podcast episode with the Cash Kid, he'll explain why understanding this concept can help us achieve financial freedom and independence earlier in life. This is a way to help the next generation by building wealth instead of debt. Plus, a new segment on the show called "Stock Talk!" Listen in as the Cash Kid helps shape our financial mindset to think before we buy.

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Transcript

Intro:

So, you got some cash, maybe from an allowance? Or, that money your grandma gave you for your seventh birthday.

 

Here ya go, sweetie! Woo hoo! Thanks, Grandma! Whatever it is, what are you gonna do with it? Spend it? Hide it away? Or maybe invest it? Let's start learning how to make that money grow. Time to learn how to be a Cash Kid. 

 

Welcome back to season two of the Cash Kid Podcast. 

 

Last episode we celebrated our one year anniversary mark and now we are charging forward with more topics and skills to learn and teach.

 

If you aren’t already, please be sure to follow us today on Instagram and Facebook @cashkidpodcast. Also, head to our website and be added to our mailing list. 

 

This is a great way to be a part of the Cash Kid movement to empowering the next generation to build super financial skills at a younger age.

 

This week, our episode is “The Cost of a Puppy.” 

 

We’re not going to just talk about puppies… 

even though, that would be cute and fun. 

 

Our focus is discussing the difference between a one time purchase and an on-going purchase. 

 

Do you know the difference? 

 

Many times as kids, because we don’t pay the bills, we might not understand this concept and have to be enlightened by an adult of the difference. But, knowing what’s a one time purchase vs. an on-going purchase is a concept we need to understand, especially before we find ourselves in debt and having to sell back the thing we purchased. 

 

Yep, it happens.

 

So, let’s talk about it. 

 

What’s considered a one time purchase?

 

A car or a video game?

 

A bike or a cellphone?

 

A puppy or a remote control car?

 

Let’s start with a bike vs. a cellphone.

 

Before I knew better, I used to think you just purchased a phone and that was it. But then my parents talked to be about how a cellphone is not a one time purchase.

 

In fact, just this past week, my nine-year old brother saw this ad where you could purchase an iPhone 14 for just $5.99. 

 

He was like, “See Mom, I can afford that?” My Mom then explained to him to look at the fine print. 

 

Yeah, it’s that much smaller writing under the large discount price in bold that states it’s $5.99 a month for the next 36 months under a contract with that cellphone carrier . 

 

Then Mom explained how you’ll also need a cell plan to go with that which can cost upwards of $30 dollars or more per month. 

 

See a cellphone, while to a kid it just seems like an object you buy once and that’s it, is actually an on-going monthly expense… usually for your parents at this age.

 

My brother’s not getting a phone…

 

Now a bike on th other hand, it’s a one-time purchase. 

 

Except for the time I wrecked mine and we had to spend a little extra to get it fixed. 

 

But asking your parents for a bike is different. There may be some repair costs at times. Like a new tire or brake, but it doesn’t have an ongoing expense like a cellphone.

 

We’re going to talk about that puppy and the debate in our house over having one, coming up. More purchase comparisons on the way.