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The Oprah Podcast

Oprah and Business Leader Mellody Hobson Share the Money Advice You Need to Know Now

28 Jan 2025

Transcription

What money advice does Mellody Hobson offer parents?

937.747 - 946.309 Oprah Winfrey

So I think that you're paying the bills, you know, at McDonald's versus this restaurant. You're looking at the bills. You're seeing... She had me look at the utility bills.

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946.529 - 968.704 Mellody Hobson

So I think that is very valuable. And I meet kids today who have no idea what their cell phone costs. I'm like, you know, Wi-Fi costs money. All those streaming services cost things. So children should know that. Absolutely. The example that I give that I love so much, I love this example. Everest has this game that she likes to buy on her iPad. It's called Toka.

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969.304 - 987.935 Mellody Hobson

Since she was like five years old, she can't buy anything without asking ever, ever, ever. And she's a rules follower. So she'll come in and say, Mom, can I buy? It's called a place because you build a house or a store or what have you. So I said, how much is it? And when she was very young, she'd say, .99. I said, 99 cents. I said, let me think about it.

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993.735 - 1012.35 Mellody Hobson

I take a minute, go back to her and say, yes, you can get that. Next time she comes to me, she says, I want to buy a place. I said, how much is it? She says, 2.99. I was like, I have to ask Baba. Baba is dead. Yes. So I'm helping her to see. She's like, oh, I said, that's that's more expensive.

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1012.39 - 1012.61 Unknown Speaker

Yes.

1012.91 - 1032.443 Mellody Hobson

I said, I have to ask Baba. So she's she understands that I go back because I don't want her to get anything instant, even though I know ninety nine cents is not a lot, but instant gratification. I'm trying to manage. Wow. Patience. So I said, I have to ask Baba. This is a child who could have anything she wanted in the world. And $2.99 for any of us is like a no-brainer. But I was like, no.

1032.463 - 1050.619 Mellody Hobson

And it's not manufactured, but it's just letting her to see, be thoughtful and deliberate about what you spend. So the last time she comes and she says, I want to watch a movie. And I said, okay. So we went to turn on the show. It was an animated film and it was $15.99. This is Everest's reaction.

1050.979 - 1076.25 Mellody Hobson

this is ridiculous she's like she thinks this is the like biggest number she's ever she's like mom this is so expensive and i said well everest you'll probably watch it multiple times it's like a toy and i said i think it'll be a good investment but i'm still going to talk to baba about it so that she sees we collaborate on money and i love this because now she knows 99 cents

1077.731 - 1085.068 Mellody Hobson

Versus $2.99 versus $15.99. Wow. And that was when she was like seven years old.

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