Starting out their adult life with the burden of student debt is an unfortunate reality for many young people. It’s almost a rite of passage, and a popular subject of political and social debates.

Parents can help with payments, but that doesn’t teach any life lessons. A better approach is to help kids understand debt and how to properly manage it.

This can be a slippery slope. No one wants their children to default on student loans, an action that could seriously damage their credit score and prospects for future loans and mortgages.

Parents also don’t want to enable their kids, giving them the impression that Mom and Dad will cover for them when they get in financial trouble. There are better ways to handle this.

Suggestion #1: The “get a job” clause

Work ethic is a critical component to success in life. One of the best things a parent can do for a child is mandate that they get a job to support themselves. Full-time employment isn’t necessary, nor is it recommended when carrying a full-time class load. A simple part-time job to cover their own daily expenses (i.e., beer money) and books is sufficient.

Suggestion #2: Help your student create a spending plan

This is a great time to have “the talk.” No, not that one. We’re referring to the budget conversation. Sit down with your soon-to-be college student and explain the importance of having a spending plan. They’ll appreciate it more if they’re using their own money. You’ll be grateful if you’re giving them an allowance. Teach them how to stretch their dollars.

Suggestion #3: Fill out the FAFSA form with your student

Sit with your child when they’re filling out the Free Application for Federal Financial Aid (FAFSA) form. At 17 or 18 years old, they may not fully understand the implications of taking on student debt. Explain how any grants or work-study programs can help take the pressure off, and why that’s important going forward.

Suggestion #4: Explain what “borrowing smart” means

Borrowing smart means taking loans out for the minimum amount needed and shopping around for the best terms and conditions. With the life experience we have as parents, we understand this. Kids don’t. They may think of a loan as “free money.” Help them to understand that they’ll be spending money they haven’t earned yet.

Suggestion #5: Encourage making payments while still in school

This should be part of a larger conversation about the role of debt in an adult’s life. Explain that paying off student loans early will give them an opportunity to start building wealth sooner. Show them the numbers. Go over how interest works and how much they can save with early payments. Your student might still be a kid, but they’re about to enter the real world.

The Bottom Line: Teach your children to support themselves

Some parents can pay for their student’s college education on their own. That doesn’t mean that they should. An important part of the higher education experience is learning how to take responsibility for your own actions. Don’t deprive your children of that chance when it comes to student loans. Help them when they need it. Let them earn the rest.

Kevin Flynn

Kevin is a former fintech coach and financial services professional. When not on the golf course, he can be found traveling with his wife or spending time with their nine wonderful grandchildren and two cats.