subject: Ideas To Assist In Teaching Children About Money [print this page] Ideas To Assist In Teaching Children About Money
Children have the ability to learn principles associated with logic by the age of four. By seven, they are quite capable of solving complex problems and relating to the feelings of other people besides themselves. Teaching children about money in the early part of their lives is very important so that they have the ability to grasp the meaning of responsibility and saving for items they desire.
Many children receive birthday money and it is often a large source of their income. This is a good opportunity to teach them about saving money. Instead of buying items for them between holidays, allow them to save for them and purchase them. They will be excited and proud when they take the trip to buy the desired item because it will have been earned.
Christmas may be financially difficult for parents when presented with long lists. Children are not aware in many cases that any limit is placed on these types of gifts. If the child still expects Santa, have them place their most desired items on that list and explain how busy he is. For the list that they give to parents, provide them with a budget. Allow them to select wanted items and stay within the budgeted amount. This is a useful way to teach kids about money. They will develop knowledge of the cost of items and how to choose.
Encouraging children to save even pennies is important when teaching them about money. Offer to match whatever amount they are able to save and it will encourage them further. This works well for young children who do not receive an allowance and want to purchase toys.
An allowance is a good way to teach children that money needs to be earned and it should be started fairly early. They can be assigned particular tasks on a list to be done daily. As long as the tasks are completed they can be paid either daily or weekly for their efforts.
Allowing children to visit the office is also a great idea. Whatever type of work is involved it is important that they know their parents are not just playing games while they attend school. It will become real to them that life transitions into working for everyone.
Teaching kids about money should be a fun activity. We all know as parents that kids attention span is quite short, so keep it interesting.
