10 May Teaching Your Kids the Value of Money & Its Management
Children are not born with a sense of money. As they grow, they become constantly aware of the value of money after experiencing and learning the importance of money in their life. Whether you believe it or not, children’s attitude about money is influenced by how parents spend, borrow, save, share, invest and protect them with money. As a parent, you must help your children understand that money matters in life. So, make sure you teach your child the difference between needs and wants.
Carpe Diem World School, the best school in Rajpura, always encourages parents to teach children money management skills as well as develop their academic skills and provides the best ways to do so.
Tips to Teach Your Child the Value of Money:
Here are some tips for the parents to develop money management skills for your child:
- Teaching the Value of Money to Young Child (4-8 Ages): If your child is younger, you can teach your child the value of money in various ways:
- By explaining the different amounts of money while purchasing different items. You can provide an opportunity for them to choose their favourite item to buy. But make sure you limit the number of items to choose from.
- Allow your child to pay for the item they choose with generosity.
- Discuss basic math concepts such as addition, subtraction, counting items to purchase, or saving coins.
- Teaching the Value of Money to Adolescents (9-13 Ages): When talking to adolescent children, consider the following steps:
- Give a positive response to questions your child asks about family finances or managing money.
- Discuss the importance of saving and using money wisely. You can open special savings account to encourage savings for children that provide incentives such as a free piggy bank or others.
- You can explain the importance of hard work and financial responsibility. Sometimes you can help your child earn extra money by doing additional chores or special projects.
- Teaching the Value of Money to Teens (14-18 Ages): Teaching the value of money to teens is essentially important. The ways are as follows:
- You can explore your child’s interests, earn money, manage money, and set both short and long-term goals.
- You can discuss family income, spending, borrowing, and saving with your child. Explain the need for budgeting practices, protecting through insurance, investing, and sharing money.
Carpe Diem World School, one of the best CBSE schools in Rajpura, also teaches various important lessons to your child, including teaching them the value of money so that they never face any financial obligations in life.