Teaching Kids about Money – Part 1 by Michelle Lambright Black
This week we will be discussing the best ways to teach your children about money. By taking an active role in your child’s financial education you can help to set your child up for a lifetime of success. The vast majority of money problems stem, not from a lack of funds, but rather from a mismanagement of the funds we do have. You can help your offspring to establish sound, responsible spending habits now that will stick with them into adulthood. Plus, it’s never a bad idea for us adults to look back at these basic principles as well to see if we are making the most of our money.
Lesson #1: Why Allowances Are Important
Giving your child a weekly allowance can help teach them the value of a dollar. This doesn’t have to cost you any extra money as a parent. Chances are that you already buy toys, candy, clothes, etc. for your child directly out of the family budget. However, by giving your child an allowance and, this is the crucial part, teaching your child how to spend that allowance responsibly you can have a wonderful teaching tool at your finger tips.
As I mentioned before, it is very important that your child not be allowed to spend their allowance irresponsibly or without supervision. Tomorrow we will discuss spending and saving techniques that are designed on a child’s learning level. Using these techniques will help you to make sure that your child’s allowance remains what it is designed to be, a way for you to teach your child about money effectively.
At HOPE we can help you achieve the credit score you desire so you can qualify for the lowest interest rates available to you. If you would like to know how HOPE can help, please call us at 704-499-9696. We are waiting to hear from you.