How you handle money doesn’t just impact your life, but your children’s. That’s why modeling healthy financial habits is essential. Here are some ideas to help build positive habits and attitudes towards building children’s financial stability.
Talk About Money
Many people grew up with a stigma that talking about money is a bad thing but how are we going to learn if we aren’t taught? Talk with your kids about how you make your money and what you do with it in your day-to-day life.
Budget
Planning out how your money is spent is key to a healthy financial life. Let your child into the budgeting process and explain why you’re budgeting. Tell them how budgeting isn’t just planning for bills but for the things you want too.
Smart Shopper
Whether it’s coupons or sales, have your kids help with finding ways to save money when shopping. Point out differences in prices or deals so they can learn how to comparison shop. With the rise in online shopping, this is more important than ever. Now you need to watch out for scams as well as prices.
Credit
Many young people, even teenagers, don’t have a great grasp on credit. Next time you use your credit card, tell them how you’re borrowing money to pay for something now but have to give them the money (and interest) later. As they grow older you can show them your credit history and the importance of a good credit score.
Stress Savings
Make sure you show the importance of saving money and explain why. You can explain that there are emergency funds, maybe things in the future to save for, and other reasons to have access to savings.
Practicing healthy habits is how we keep not only ourselves stable but teach our kids to be stable. If you teach them about finances they can learn to be successful and thrive as they grow up.
April is Financial Literacy Month and a great time to teach young people about money. If you are searching for additional resources for youth, look under the "Financial Education and Wellness" section under the "Resources" tab on Nymeo.org.
Category: Credit & Budgeting
