Unless kids are taught about the value of money, they will invariably encounter challenges in life. And depending on their lot in life, they may also become complacent, entitled and lazy. I don’t wish this for my sons or any other young people of today. This is why I place an enormous priority on teaching financial literacy.

Approximately 10 years ago, my sons asked for a Wii. I said sure, as long as they paid for it themselves. I’m proud to say that they took the challenge seriously and saved up several special occasion money gifts until they had enough to make the trip to Zellers with their dad. The game was theirs and they purchased it with their own money.

Several years later, my son David asked for the latest release of a video game. Not being a big fan of video games, I said no. It was $70 before tax and almost $80 after tax. Not exactly a drop in the bucket. But my boy persisted, asking if I’d consider going 50/50 with him. He must have caught me at a weak moment because I agreed.

But that is where the agreeableness ended. I wasn’t about to let him think it was that easy getting what you wanted. I saw a teachable moment and I leapt at it. David was going to use $40 of birthday money, so I thought I would quiz him on where my $40 was coming from – because it certainly wasn’t falling from the sky.

“How much do you think I need to earn before I pay income tax, in order to make $40 for your game?”, I asked him. “Ummmm…”, he replied. “I have to earn approximately $55 because the government taxes my income at approximately 25%”, I said.

He was intrigued.

“And tell me this, David – how much do you think my business needs to make in order for it to pay me $55” I was hit with another “Ummmm…”

“The answer is twice as much. Taking into account all of my business expenses, I need to make $110 before I can take home $55.”

It was a revelation for the consumer-oriented teenager. I could see the glimmer of someone who was just beginning to realize the complexities of money.

Taking it one step further, I asked him if he had any clue as to what the true value of his newly-purchased $250 hockey stick was. He shook his head and said “I dunno -- $1000?”

Clearly, there’s more to work be done on the financial literacy front with my boy. But the wheels are in motion. So, I plan to keep at him, until one day, he too knows the true value of a dollar.