Hello There,

Welcome to our next edition of Mini Millionaires.

In this edition, we're talking about a topic bound to get folks a little bothered and hot: How to teach kids about debt.

Now we know that a hot topic like debt can stir up a broad range of emotions in people, and that every single family is different when it comes to their views on debt.

But in reality, debt is a very real thing, and something that our kids are bound to come across at some point in their lives. So while we won't tell you about what debt is “good” or which ones are “bad”, we can tell you it certainly isn't “free”.

And so today’s edition of Mini Millionaires is all about helping equip you with the ability to have the hard conversations about debt with your mini millionaire.

Let’s get into it.

The average South African household uses two-thirds of their income to repay various debts.

Meaning, before salaries and wages even get to the household budget, 66% of the money is already gone.

For many families, this is not about living in luxury; it’s simply about making ends meet. Depending on your specific situation, debt can be emotional, practical, empowering, or overwhelming. Some families avoid it completely. Others use it to build the life they want. 

Neither approach is right or wrong. 

This week, we’re helping you bring that conversation home in a way that fits your family.

“What does our family believe about borrowing?”

Every family has a different relationship with debt. The important part is talking about it. 

Do we borrow only when we have to? Are we okay with good debt if it builds something meaningful? Let your mini millionaires in on your reasoning. 

It’s the ideal time to discuss good vs bad debt, paying your bills on time, avoiding high-interest fees, and not going into debt without a plan to pay it back.

Takeaway: Start with: “What does debt mean in our house, and why?” It’s a powerful question that invites trust, not fear.

Every borrow needs a plan to return.

Even small loans should come with a plan to pay it back. 

With our mini millionaires, what matters is how we shape their thinking about financial skills and concepts. So, regardless of whether your family sees debt as exclusively “good” or “bad”, or a combination of the two, it’s crucial they don’t grow up thinking debt is “free”.

If your child wants to borrow R20 for a treat, practice asking: “When and how will you pay it back?” 

This habit teaches accountability without pressure, setting them up for smarter borrowing later.

Takeaway: Make it normal to ask: “What’s the plan to pay it back?”

Run a real-world money mission.

Let your child borrow a small amount, but here’s the kicker: they can only use it to build something. 

Perhaps it’s R50 to buy ingredients for a bake sale or materials to make slime (yes, absolutely this is still a thing). Then help them set clear terms: This much money upfront, this much paid back each week for 5 weeks. 

It gives them real-world exposure on a smaller (safer) scale, without the same hectic consequences if they were to go it alone out there.

Takeaway: Turn debt into a hands-on experience. When kids borrow to build (not just to buy), they learn that smart debt can be a tool, not a trap.

What happens when your mini millionaire wants to start a business, but doesn’t have the cash upfront?

In our Debt Diaries printable, kids explore two options: save up for supplies or borrow money (and pay it back with a little extra). They’ll do the maths, compare outcomes, and decide which makes more sense, all within a safe, real-world-inspired scenario.

It’s a hands-on way to show that debt isn’t “free”, and sometimes, borrowing can help build, if you’ve got a plan.

Take control of your financial destiny in FinMaster, the fast-paced board game where strategy meets wealth creation. 

Buy stocks, build businesses, trigger market crashes (or ride them to victory), and use power moves to outplay the competition. 

Whether you’re 12 or 112, FinMaster makes money management seriously fun.

The 2025 Edition is here, boasting slicker visuals, improved rules, and brand-new POWER cards.

Our first limited edition run flew off the shelves, so be sure to get your order in today.

Last week, we asked, ‘What’s the biggest challenge when teaching your child to set money goals?’ And it looks like we’re grappling with keeping things real, remembering to follow through, and wondering where to start.

⬜️⬜️⬜️⬜️⬜️ 🎯 Keeping them motivated

🟩🟩🟩🟩🟩 🎈Helping them be realistic

⬜️⬜️⬜️⬜️⬜️ 🎉 Making it fun

🟩🟩🟩🟩🟩 ⏳ Remembering to follow through

🟩🟩🟩🟩🟩 🤷‍♀️ Honestly? I’m not sure how to start

What you said: 

“Knowing where to start is a challenge tbh - But the Savings Goal Template with those SMART Goal Reflection Questions for Kids is a really awesome resource, and the perfect starting point to start the savings goals convos.”

Thank you. Sometimes these money convos can feel daunting, and it’s hard to know where (or even when) to start - the key is to start, :-)

What’s the mindset, habit, or tip you want to try this week?

What worked, what didn’t? Or is there something that’s got you and your mini millionaire excited? 

We’d love to get your thoughts, so hit reply to this email and let us know what's on your mind.

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