Teaching Kids About Money Starts at Home
Our society values academic education as we can see by all the schools, colleges and universities all around us, but what about financial education? It is not being taught in the schools, in our communities or on our televisions – so where does the responsibility fall to teach our children about finances? You guessed it – it falls on you at home. Accept this as your responsibility and find a good program like CA$H KIDZ to assist you is training your children with good financial management habits beginning as a young age.
Younger is Better
A very common question we receive is what age should we start to teach our children about finances and put them on a program? While many people may tell you that you should start by the time they are teenagers we believe you can start them as young as 4 years old. Will they understand everything at this age? No, but it will develop financial habits in their life that they will accept as normal when handling money throughout their lives.
Teach them a money management system they can use for the rest of their lives
Almost 100% of the books and articles you will read about teaching your kids about money will tell you to teach them concepts like how banks work, opening a savings account, giving them an allowance etc. There is nothing wrong with this education but what seems to be missing out there is a practical way to teach your kids how to budget and handle money NOW!! This is the reason we created the CA$H KIDZ program because it will give your kids the knowledge of how to be a good money manager throughout their lives.
Allow Them to Make Their Own Decisions
All families spend money on their children. As a matter of fact the average family spends over $500 a month on each of their children. When you take money out of your wallet and buy something for them what did your child learn? Nothing? Why not give them a Payday each month and allow them to make those same purchases from their own wallet so they can learn the value of money. It is not going to cost you any more money but the financial education they receive is invaluable. These principles and concepts are a part of the CA$H KIDZ program.
Say “yes” more than “no”
When our children have no money or get a token allowance they are having to continually ask us for money to get the things they want. Often we say “no” because it seems like they are always wanting something or we say things to them like, “we can’t afford it” and “do you think money grows on trees?”. Subconsciously we are teaching our kids that money is scarce and hard to get. Once we start giving our kids their own money we can allow them to make their own decisions and we should allow them to not only make good decisions but mistakes as well.
Once they have their own money you simply tell them to bring their wallet to the store and now when they want something you simply say, “do you have enough money?” If they do then you can say YES! If they do not then you let them know that they have to wait until their next Payday.
Keep it Simple and FUN!!
We should not complicate financial education and it should be age appropriate. It is not necessary to teach your 6 year old about real estate investing or the stock market. But what we do need to teach them is how to handle money and be good money managers so when they get older and want to develop their financial portfolio that they have some resources and know how to earn, save, an spend wisely.