Schools usually focus on the academics in teaching our children; it is very rare that they are taught money saving tips inside the classroom. Teaching the necessary financial skills will help them survive the competitive nature of the world. But as we all know especially in today’s world where the flow of money comes as fast as they can go they’ll need more than just their academics, they’ll need knowledge in finances. Financial skills are just as important as the academic ones. If it is not taught in schools, the responsibility of teaching such skills depends on the children’s parents. If your children don’t learn these lessons, it could cost you and your children’s future. So what are the money saving tips to teach your children? How do we help them to steer clear of dangerous paths and become independent enough to survive on their own when they reach the age of adulthood? The following are money saving tips that you might consider teaching to your children.
Money Saving Tips
Money is earned rather than given
The first among money saving tips is that money should be earned rather than given. Instill a culture at your home especially on your children that they must work hard to get what they want. Just give them simple chores like cleaning the room or mowing the lawn and pay them with their work. Not only is it a great training ground for a real job in their adult life it is also a lesson that is best applied rather than spoken in regards to the value of money.
Being thrifty gains countless rewards
Being thrifty gains countless rewards. Teach your child that it is important to be patient in matters of money. That every dollar you save today will be important in the future so they learn to save.
It is important to have a budget
Give your kid an option of $15 a week or $60 a month for their allowance. Probably they will choose the $60 monthly allowance and spend it all in a week leaving them with no cash for the following weeks. Do not give them additional allowance and let them feel the difficulty of having no money because they did not stick to their budget. This hard lesson is wired to one of the important things when it comes to financing and budgeting. Use this lesson to motivate your child to budget their allowance next time and be cautious of spending too much.
Avoid Debts as much as you can
The last in the list of money saving tips is in line with budgeting. There are many benefits when you budget but most of time it will help you avoid debts. Teach your kids at an early age to avoid debt as much as possible. Getting a loan will solve some money issues for the short term but that debt will take a long time to get out of. It is always best to spend within their means. So they need to learn to budget and avoid getting into debt.