Money Lessons for Kids

While reading The New York Times, an article called "The Frugal Teenager, Ready or Not," caught Oprah's attention. The writer discussed parents who, for the first time in years, are saying no to their children and cutting back on frivolous spending. As the economic crisis begins to hit home, millions of overindulged children are being forced to live without designer clothes, the latest techno-toys and big birthday bashes.

Wendy and Paul Postle, parents featured in the New York Times article, say they've realized always saying yes to their two children could cost them their future.

Just a few years ago, Wendy admits that she and her husband indulged their teenagers, Kaitlyn and Zach, in many ways. "It made me proud to give them what they wanted," Paul says. "I guess as parents, you try to give them things that you didn't have."

Most years, Paul says the kids' birthdays were celebrated with over-the-top parties. A video of Zach's first birthday shows a baby surrounded by gifts that he couldn't even open. "It's a perfect example of how we overdid parties," Wendy says.

Paul says he and his family lived like their luck—and money—would never run out. "It was a lifestyle of you know, 'Don't worry, we'll get more,' meaning money," he says. "The times were good, and there could be no fall."