As parents, we always want the best for our children especially in matters of safety and security. Some of the best things we can do for them are to lay a foundation that they can build on in order to do well in life, and one of them is to teach them about money.
When to start?
We can start as soon as they know the concept of money. Remember, the earlier we start, the better! The sooner we start with savings and investments, the more time we have to reap the benefits of a merger. Little by little, it took a long time to become a hill.
Lead by example
This is important because children learn from what they see. So, the best method to teach your kids about saving money is by saving money yourself. Children are naturally obedient and will learn many of their money concepts by observing you and copying your behavior. You can also invite them to have a simple discussion about the pros and cons when deciding to buy certain items.
Make Learning Fun
Learning can be fun too! In a Facebook post that went viral, one man shared his experience of learning about money management as taught by his parents.
"Every week I get one dollar for allowances. Then I can choose the part where I put my money. There are four parts: spend, save, donate, and invest. If I put a dollar in the 'investment' part, my parents give I have two extra bucks at the end of each month. I only use my 'spending part' twice! I have over RM 10 on my investment part. I have more money but I withdraw a certain amount of money and put it into the "donations" part. buying food for people who don't have much money is 'part of their expenses.' "
This is a clever method of teaching kids to understand the big picture about money management. Not to be missed, it is also an excellent method of teaching compassion to children!
Tags
BUSINESS & MONEY
