I am a believer that if I raised my kids right, you can teach them not to make those same mistakes. I think you said, let them make mistakes at an early age but why
if you can teach them.

The $32k 2006 Mustang is his only mode of tranportation and it works for him and is practical for him.....no kids and no wife yet. What may be practical for him, may not be for you and I. The drugs and gambling stuff you mentioned is not even on the radar. I am talking about young couples who splurge and buy material things that they do not need or are too expensive like Vipers and big houses for people in their 20's.

I feel as a parent it is my reponsibility to teach them finances, how to buy a car, etc.

You need to took to a financial advisor about the "Cost of Waiting". Let me know if you want know more.