Little Savers: Financial Literacy for Kids

Little Savers

Teach your children financial literacy for a prosperous future.

Many parents struggle to talk about money matters with their children because they don’t know enough about money to teach them. However, teaching kids how to handle money is very important since most schools don’t teach them this. If you don’t teach your children about money, they might face difficulties growing up.

Are you worried about how your children will handle money? Here are four tips to help you teach them about money.

1. Learn by doing

An excellent approach for kids to understand how to manage money effectively is letting them err independently. Giving the child a weekly allowance creates a unique opportunity for them to learn budgeting. With it, they can immediately spend their allowance on trifles or save over a couple of weeks to get something they enjoy. While some will undoubtedly opt for immediate expenditures, they should learn from these minor blips rather than huge, expensive ones.

2. Involve Kids in Family Budgeting

If you have a monthly budget for shopping or recreational activities, consider involving an older child in its planning. Kids quickly learn from real experiences, such as staying home the latter half of the month because they exhausted the funds early on. Setting a specific budget for grocery shopping and involving your child in mapping out the list and shopping could teach them to make intelligent choices with a limited budget.

3. Make It Fun

Relate money-saving and budgeting to games. Let your young kids scan the web or circulars for coupons and good deals. You can pledge to deposit a fraction of the money they help you save towards something they select. Even significantly older children can refine their investment skills through stock exchange simulators like The Stock Market Game.

4. Encourage Them to Earn

While knowing how to save, spend, and invest money is valuable, instilling a robust work ethic is one of the best financial attitudes you can help your children develop. By enabling them to earn their own money through part-time jobs for older kids or initiating small ventures such as a lemonade stand for smaller ones, the principle of working hard for a reward becomes ingrained.

These propositions are only a stepping stone. Utilize the chance to teach your kids about money management to augment your knowledge!



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