Four Tips to Teach Kids to be Money Savvy

Jennifer Openshaw has listed out 4 tips to better prepare the up and coming generations in the financial world.  Many young teens go to school learning their basic arithmetic and shapes, but what about when they have to pay a $300 credit card bill with only $200 in their pockets?  Situations like these force parents to teach kids how to limit themselves when it comes to spending and indulge in those great deals here and there. 

Below are 4 tips Openshaw has introduced to help in these kinds of situations:

1. “Build a home budget”
   Instead of the typical chores, like taking out the trash or washing dishes, give them something more educational like managing a bill and finding the best way to save money on certain household expenses.  Incentives such as an extra couple dollars here and there could push them to be more involved in saving money on household expenses.  It’s a good feeling when you know you’ve made an impact on saving money.
2. “Dinner dialogue”
   Family Dinner time is always useful in catching up on everyone’s daily lives, and sharing interesting things you’ve managed to come across.  Why not spend at least one nite a week catching up on financial topics?  It’s good to discuss the latest news about the financial economy or topics in relation to personal finances.  Pick up a few headlines about the financial industry to discuss, everyone benefits from this.
3. “Make a meal”
   Everyone likes to spice up their dinner plate now and then.  Leave it up to your kids to determine what to eat.  Give them a budget of about $10 or $15 and let them do the grocery shopping.  Give them a few tips to find coupons online, and shop for the healthiest choice.  Here, they get a sense of budgeting skills.
4. “Take a class”
   Since there are no personal finance classes included in the regular public school system, invest some time and money in enrolling your child in a couple classes to learn basic money management skills.  In the long run, you will see you made an excellent investment yourself.

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