Dear Mr. Dad: Because of the current economic situation, my wife and I have decided to sell our home and downsize to a smaller, more affordable one. We’re both comfortable with this decision, but we want to be sure that when we talk to our children (3rd and 5th graders), we don’t panic them. Depending on where we move, the kids may need to change schools. Any suggestions?
A: The fact that you and your wife have thought through your decision and are on the same page puts you way ahead of other families who are in similar situations.
For you, the first step is to sit down and talk with them in a way they can understand. Unless they’ve spent the past year on another planet, they’ve probably heard about the recession and may have even talked about it at school. But you’ll need to find out how much of what they’ve heard actually sank in. The problem is that they may understand just enough to be scared, so it’s important that you reassure them that despite the current state of the economy, they and your family will be OK.