Although the piggy bank is the first thing that comes to us spontaneously in the education of children in money management skills, the reality is that today, box of money to be only the first step in the process.
Teach your children how to budget
One of the fastest and is easier to teach your children the basics of budgeting, the establishment of the system of “three pot. If giving away their allowance into three pots – one shared, for expenditure for charitable purposes, we, and it is for the registration . Basically, you are putting them in place with a mini-version of the system of budgeting learn. you decide how to devote too much to each pot, and you have to give them a chance to make some extra jobs to earn extra savings.
Teach your children to set goals
A great way to get the children about setting goals is to be set for something, what they want to buy. Whether it’s a PSP, a new bike, a computer, an iPod or a new toy they get to sit on a target and start saving for them. If you want to help along the way, the establishment of a “dollar for dollar” system, where you fit, what to save her, but let them not to take the hard work and responsibility to have enough money together to achieve their goal. This technique gives a sense of pride for a child and also helps that some of the persistent immediately stop buying what you want to promote.
Teaching children to be independent
The second part of teaching your children to achieve goals, to stop telling them they can not stop because “we can not afford.” This way of thinking or the things children learn to give up on credit, but teach them the importance of cooperation, how can they afford something. Next time your children ask you something that is on the budget said the purchase is not an option now, and they need to see how she could go to earn the opportunity to make money to buy it. By giving them the chance to work do not always know what you want immediately is a major step in establishing good habits of money management, and if you save by going to understand to help them, how to win and save money until they reach their destination, they are strategies that will last a lifetime.
Education of children is a good model
We learn the great majority of our habits of money management from our parents. Do you have an opinion as to what your children learn on a daily basis. Do they see you act impulsively or responsible? Are they just working on your own goals or simply to see you put everything on credit? If you show them how to be socially responsible by making a donation to charities or volunteering, if your budget will not stretch to cover the gifts? Your children are aware of the financial situation of the family or think it an inexhaustible source of money just pops out of the ATM when you need it?
People often say that their children are too young to have to learn about managing money, but the truth is that they can rely on are old enough to teach the basics. If you wait until they prepared to leave home to begin the lesson, the importance of dealing with money, so chances are good it is too late and they end up having to learn their financial lessons the hard way. Give them the best start in life by teaching simple lessons the easy way, from the beginning.