#1 – Give them Control of the Money
If children do not have authority over their money before they reach adulthood, they will learn that money will always be given by someone else, and they will not be accountable for its spending or future.
#2 – Teach them to Save to Achieve Financial Goals
They will want to buy something more significant than the amount they have on hand. Once kids realize they can do more with their money than spend it on whatever they want. Now is the moment to teach them about achieving financial objectives.
#3 – Teach them that Reducing Expenses Allows Goals to be Reached Faster
This given lesson is a continuation of the previous one.
If you teach them about financial objectives, they will likely pick it up independently.
Kids have realized they need to save more to attain a goal faster. It also means less money spent on other things.
#4 – Teach them How Money can Make Money
It is an investment lesson that many of us may benefit from.
One thing is putting money into a savings account and earning 10% a year. However, compound interest will likely go unnoticed if your children have short-term ambitions.
#5 – Teach Them About Budgeting
It doesn’t have to be a problematic budget; instead of having a large sum of money that diminishes with each impulsive buy, you want to educate them on organizing their spending.
Then show them how to split the money and keep it focused on the various objectives.
#6 – Teach Them to Pay Bills
Do you have a cell phone for your adolescent? Who is responsible for paying the bill?
Allow them to spend the planned amount each month and pay the bill monthly.
If they do not pay on time, you will terminate the service. Your children will figure out how to pay their bills on time.
You can even add payments for a car (if they drive), cable television, or the Internet.
#7 – Teach Them About the Dangers of Debt
Kids will probably not grasp this lesson at six, but they will undoubtedly get the notion as adolescents.
You’ll have to talk about debt difficulties, including loans, credit cards, and other sorts of debt.
They’ll quickly discover that paying their monthly credit card payment limits how much money they may spend on other things and that this form of debt might jeopardize their monthly budget.
#8 – Teach Them that Earning More Money Brings Them Closer to Their Goals
If you have financial objectives, you may cut back on your spending to get closer to achieving them. You may also earn extra money by doing so.
As a child, your children should begin learning this lesson through additional cash. This money should come from something other than domestic tasks since they must learn to participate at home without expecting a monetary reward.
#9 – Teach Them About the Effects of Advertising and Consumerism
Most of us grow up unconscious of the impacts of advertising, marketing, and consumerism on us and our purchasing patterns; thus, this should be taught both at home and school. Teach them about advertising’s goal: to persuade us to buy things or services by causing us to spend money.
Also, discuss consumerism and how it damages us financially, is unhealthy, and, most importantly, causes us to clutter our homes with expensive and completely disposable items.
#10 – Teach Them About Impulse Buying
Like the previous lesson, Impulsive purchase results from advertising and consumer psychology. Teach your children to consider their assets before making them and recognize the indications of impulsive buying.
An excellent method is to compile a list of the extraneous items we wish to acquire and then wait 30 days to decide.
Instruct them to stay away from shopping malls and e-commerce sites (shopping over the Internet).About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.