I read somewhere about the story of Davido (David Adeleke), the popular Nigerian musician and it inspired my choice of this topic. It was written that Davido dropped out of school in the United States and came back to Nigeria to pursue his music career. Seeing his passion in music, his father collaborated with Babcock University Nigeria to create a brand new music department for the sake of his son. It was gathered that Davido’s mother was teaching in the same university before she died in 2003 so the family was already known by the school, which made it easier for the collaboration and investment to take place. Davido’s father was said to have invested hugely into this project from where his son became a superstar today.
Though I cannot confirm if this story was absolutely true, but I can confirm that some parents go a long way in investing in their children’s future, thereby laying a solid foundation for them towards an absolute glorious future. Davido’s case is only the popular one we know out of many unpopular instances.
A child’s life course trajectories is basically built around their parents; the parenting skills in place and the broader financial context of parental involvement from childhood into adolescent age. The parenting foundation in a child’s live cuts across many other factors of a child’s development ranging from social, emotional, spiritual, economic and financial factors. This topic seeks to explore the potential of financial factor (human capital investment) in a child’s development which enhances life course outcomes for the child.
The why question
The cost of raising a child from birth to adolescent age cannot be quantified. This also means that the amount to invest in a child’s future cannot be quantified or excessive. However, it is worthy of note that investment of any type can fluctuate in value making the investor get back less than he invested. But for a child, it is more or less a parent’s responsibility which gives a feeling of fulfilment in the investor, whether the outcome turns out positive or not. And this investment must not be for biological children alone, infact, non biological children are less entitled which propels them to yield more returns and show more gratitude than biological children.
Aside the factor of responsibility, investing in a child has numerous benefits which include:
- It helps parents to establish future goals and well rounded financial plans for their children.
- It gives children the direction and focus in life from an early stage.
- It makes parents to be more involved and committed to the life of their children.
- If fosters close relationship, bond and love between parents and their children.
- It gives children a patterned life and brings them closer to their future.
- It fosters financial awareness and knowledge in children and makes financial independence easy.
- It makes children less vulnerable to societal vices and bad influence.
- It shapes the confidence, self awareness and self reliability of children.
- It reduces future financial stress and sets the right pedestal for children to sail smoothly through a successfully life.
- It makes children more committed to financial planning using the financial tools to create a healthy financial future.
Generally, It makes planning for the future very easy and workable. Investing in your children makes them think smart, earn smart and live smart. It enhances financial literacy and boost their financial stance and confidence.
Parents owe their children a sound financial footing and a good guide to financial decisions. This goes beyond taking care of their basic responsibilities and training them through school. It involves doing the extra, making additional efforts and sacrifices to encourage and support them through life. As a parent, you don’t need to have much resources to do this. You only need the consciousness, the plan in place and the gradual but steady steps to achieve it. Sadly, some parents have the capacity but are either not showing concern or have chosen to project their investments externally, creating a loophole in the internal investment which should be foremost.
Every child has a future and securing that future starts with the foundation laid by their parents or other adults in their life. Help that child knock off years of hardwork by setting a solid foundation for her future.
And the questions remain;
As a parent, how far can you see into the life of your children? How supportive are you towards their dreams? What are the future financial plans you have for them? How well have you looked into their passion and how far have you gone to support it? How disposed are you to walk them through their financial life? What efforts have you put in place already and what plans are you making for the future? Do you engage them in financial discussions? Are they aware that starting early makes ending well smoother? Do they know that life is difficult without proper financial plan? Are you aware that a solid foundation layed on one child could impact a whole generation? ( just as in Davido’s case).
Ask yourself these questions and make hay while the sun shines!
Amara Ann Unachukwu
