For the month of October I am participating in a 31 day event where bloggers post each day on different topics. I chose the topic of teaching kids about money and finances.
It is important to start teaching children about money as early as you can. Some people say as young as 3 years old. One thing to remember is that with other things children watch and learn from what you do. There are easy ways to teach kids about finances without having to spend a lot of extra time and effort.
When you are at the bank, explain what you are doing when making deposits, getting cash, etc. Explain that you need money in the bank to write checks and use your debit card. Many times kids (and some adults) think that as long as you have check blanks or your “handy” debit card you can keep spending.
Also, that you will owe interest on any balance on your credit card that you do not pay off at the end of the month.
In the book, “Money Doesn’t Grow on Trees” by Neale Godfrey, she tells of a friend who took his young sons across the country to see their grandparents. After each stop to eat one of the younger boys was always straggling behind the others. Finally, when they were almost home, the father asked why he was always late. The boy replied that he was picking up the money his father kept forgetting at the restaurants. He had been picking up the tips each time. But to a young child, without explanation, it may seem to them that his father was forgetting his money behind.
So with a few small steps and reminders you can help your children to manage money better.
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