Teaching Money To Kids - They May Know More Than You Think
When it comes to teaching money to your children, you may be surprised to find out that your kids may know more than you think.
Whether you are old fashioned and still use cash, or you have become addicted to swiping, your kids are developing ideas about money just by watching you.
The interesting thing is this happens whether you talk about it or not.
Truly your actions speak louder than your words.
While we live in an era where cash is being used less frequently how can you teach your children the real value of money? How can you get them to understand that money doesn't grow on trees and that it doesn't have a Visa or MasterCard logo on it? To begin with you need to go (and I hate to say it) old school.
That's right you need to actually get some cash and bring it in the house so your kids can see what it actually looks like.
Let them feel it but also let them know that each piece of money has different value.
I would suggest taking one of their favorite items and finding the price of that item.
Then have your child count out the actual amount of money it took to purchase that item.
Let them see it with their own eyes.
If they get an allowance let them figure out how long it would actually take to buy that if they had to pay for it themselves (note: be sure to choose an item that costs more than their weekly allowance).
The real value here is helping them understand the relationship between real money and the purchasing power it has.
As parents another challenge in teaching money to our kids, in our swipe friendly, credit card, buy on impulse society, is getting kids to understand that paying with plastic is not a license to buy whatever you want with no recourse.
You do have to pay it back.
I spoke to a parent recently who used a situation to teach her children a wonderful lesson.
She regularly gives her kids an allowance.
They can do whatever they want with that money either save it or spend it.
On one occasion they were in the store and her son wanted to buy something but he didn't have his money with him.
She told him, I will buy it but you have to give me the money back when we get home.
He said excitedly, as most kids would, yes no problem.
That was great when they were in the store, however when they got home and she took the money for what they brought it didn't feel so good.
All of a sudden her son felt the pain of losing his money and began to wonder if it was worth buying.
Needless to say the next time they went shopping he thought twice before just buying what he wanted.
Simple lesson yes, but powerful and most importantly it produced results.
When it comes to teaching money to your children keep it simple and keep it real.
Make sure you bring it down to levels that your children can not only understand, but also feel.
This will go a long way in helping them understand the true value of money.
Whether you are old fashioned and still use cash, or you have become addicted to swiping, your kids are developing ideas about money just by watching you.
The interesting thing is this happens whether you talk about it or not.
Truly your actions speak louder than your words.
While we live in an era where cash is being used less frequently how can you teach your children the real value of money? How can you get them to understand that money doesn't grow on trees and that it doesn't have a Visa or MasterCard logo on it? To begin with you need to go (and I hate to say it) old school.
That's right you need to actually get some cash and bring it in the house so your kids can see what it actually looks like.
Let them feel it but also let them know that each piece of money has different value.
I would suggest taking one of their favorite items and finding the price of that item.
Then have your child count out the actual amount of money it took to purchase that item.
Let them see it with their own eyes.
If they get an allowance let them figure out how long it would actually take to buy that if they had to pay for it themselves (note: be sure to choose an item that costs more than their weekly allowance).
The real value here is helping them understand the relationship between real money and the purchasing power it has.
As parents another challenge in teaching money to our kids, in our swipe friendly, credit card, buy on impulse society, is getting kids to understand that paying with plastic is not a license to buy whatever you want with no recourse.
You do have to pay it back.
I spoke to a parent recently who used a situation to teach her children a wonderful lesson.
She regularly gives her kids an allowance.
They can do whatever they want with that money either save it or spend it.
On one occasion they were in the store and her son wanted to buy something but he didn't have his money with him.
She told him, I will buy it but you have to give me the money back when we get home.
He said excitedly, as most kids would, yes no problem.
That was great when they were in the store, however when they got home and she took the money for what they brought it didn't feel so good.
All of a sudden her son felt the pain of losing his money and began to wonder if it was worth buying.
Needless to say the next time they went shopping he thought twice before just buying what he wanted.
Simple lesson yes, but powerful and most importantly it produced results.
When it comes to teaching money to your children keep it simple and keep it real.
Make sure you bring it down to levels that your children can not only understand, but also feel.
This will go a long way in helping them understand the true value of money.
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