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How to Teach Your Kids About Money

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Developing a healthy relationship with money is one of the best things we can do for our kids. Not only can it provide a level of financial security as they are growing up, but we can also teach them how to have a good relationship with money too. Here are some fun ways to encourage a healthy relationship from the start.

Give them a piggy bank

A piggy bank can be a lot of fun for little children, but we know plenty of grown-ups who enjoy filling their piggy with money too. A piggy bank, savings jar, whatever you want to call it, this is a great way to show kids that they have their own money to control. If you give them a clear jar, they can see the money build up inside every time they pop their coins in.

Show them the cost

Once they start filling their savings jar, they will want to start spending their money. At this point, you may be tempted to tell them not too because you know they will spend it on rubbish. However, by letting them spend it and telling them the cost of things, they will become familiar and comfortable with money. As they grow, they will have a better understanding of how money works.

Set an example

If you have a terrible relationship with money, there is a good chance that your kids will copy your mistakes. However, this is an opportunity to turn your own relationship with money around. As difficult as it may be, you will have to deep dive into your budget to see what is wrong, see if you need assistance from a miami adjuster, and how you can make improvements. This can be tough, but let your kids know that even adults can struggle with managing money and it is ok to ask for help.

Explain value

This point links in with our point about cost. If you let your kids buy that piece of rubbish that breaks within a week of them owning it, they will quickly learn that you don’t waste your money on cheap tat. They need to learn that things can have value, and how to spot a good deal. This skill takes practice but it won’t be long before they are able to spot a high-quality toy that will give them hours of fun, rather than handing their money over for the late4st fad that won’t last until the end of the month.

Encourage charity

Let’s take a moment to acknowledge how privileged we are to be living the lives that we have. Yes, there may be room for improvement in certain areas, but overall we have it pretty good. There are many people and animals around the world that don’t have it so well. Encourage your kids to give to charity and show them how lucky they are to be in the position that they are in. They could even agree to set up a small monthly payment to a charity to be paid with their own pocket money or sponsor an endangered animal.