The Role of Parental Education in Financial Socialization of Children

Drawing on Annette Lareau’s conceptual framework of concerted cultivation versus accomplishment of natural growth this qualitative study examines the impact of parental practices on children’s exposure to financial topics and offers insight into how parents socialize their children on financial matters. Lareau’s model suggests that middle- and upper-class families tend to provide more opportunities for their children to socialize with institutions than working class families, thus, better preparing children to navigate, interact, and thrive in complex social systems as adults. Though the study’s findings don’t precisely align with Lareau’s theory, they suggest that mothers’ education level plays a role in financial socialization of children.