I read an interesting story today about how much we have to cut back on a lot of stuff in order to stretch our money. We do away with unnecessary expenses, like cable bills, or we scourge the thrift stores more. And for parents with growing kids, it seems the economy has also affected the tooth fairy.

How much do you give to your kids as the tooth fairy these days? The depleting rate, according to a report from 2010 says, that tooth fairies give anywhere between $2-3 these days. A couple of years back, children at least enjoyed above $5 surprises.

Dentists however, says that the price range is just about right. As we also need our kids realistically. It’s really lavish to spend more than $5 for every piece of tooth, when there are about 20 tooth to be extracted on average.

I know of some parents who shower their children with really expensive gifts for something as simple as this. And I think it already goes beyond the reason of buying it just because they can afford to.

We must live by example, everyone says. And if kids can easily get the latest iPod or gadget because his tooth has loosened up, then we’ve got more problems than the tooth fairy’s economic standing.

But I also know of another family who does nothing like this, and so the child ends up getting confused when his peers talk about it. Now, I see that as robbing someone of a childhood.

What do you think?

Kids will always want something each Christmas and mostly this is pointed towards electronic gadgets and toys. But one hindrance is the fact that not all parents may be able to sustain such a want, having to buckle down and save some bucks for their families to survive.

Making kids understand that such a debacle is something that is beyond their control is hard to do. At their age, they still don’t know what it means to earn and get steady income. But there are some kids who could be enticed to try out the things that they see and this includes instances where you get rid of the old by selling old toys and saving up to buy new ones.

In a sense, this is hitting two birds with one stone. You are getting rid of old stuff that normally stay hidden in your closet and also start to learn how to earn a decent buck. To many earning is the best part but at some point they will understand that getting rid of old toys that may soon find their way to the garbage can, is a golden way of learning to turn trash into gold.

These straitened times have brought out a different kind of holiday spirit in children like Faith: the entrepreneurial spirit of Christmas presents. As many parents cut back on holiday spending this year, their children are figuring out ways to get the money to buy what they really want. They are asking their parents to post ads online to sell their old stuff or to hawk it on eBay. Some are showing up with used gadgets, toys and game consoles at malls and fast-food chains where people congregate.

(Source) The Wall Street Journal

There’s not a parent out there that needs to be reminded that times are pretty tough right now.  More and more families are struggling financially, trying to either get on their feet or stay there.  People miss a payment here or there and credit scores tank, which hits the entire economy.  After all, if your credit is bad, you can’t get a car or a home equity loan or buy a new house or get a credit card to fund your vacation.  And the more money you’re not spending in the marketplace, the less money all those people out there are making in their turn, as well.

There are some sites that can help with that.  One of the best new sites that I’ve come across is CashSubsidy.com, The Cash and Finance Blog.    This site has several things to offer a parent who’s trying to keep finances on track. 

First of all, there are articles about everyday family things, such as wise management of finances and the pros and cons of using a debt consolidation service.  It also covers the general state of business and the economy–in a general overview sort of way, giving us enough information to keep un knowledgeable, but not so much that we can’t get through it. 

It defines terms for its readers, as well as offering resources such as books, links, and information about conferences and other financial helps. 

Keep in mind this is a new site, and its resources are still growing.  Still, with the way it’s begun, parents will find this a helpful place to start looking for the guidance they need to stay on their feet financially.