Instill these 3 key financial habits in your kids
.jpg?width=400&name=Blog%20-%20Teach%20your%20children%20well%20(savings).jpg "Teach your children well (savings)")
Children learn what they see and hear, so it’s important to model good financial habits for them. Unfortunately, according to one survey, almost 40% of us don’t talk with our kids about things such as credit and budgeting.
Use these tips to teach your children how to successfully deal with money for their entire lives:
Be open about money. Let your kids see you working out a budget, paying bills, and balancing the checkbook on a regular basis. Schedule time to show them that these things need to be done consistently so you’re aware of how much you have spent. And don’t be afraid to tell your kids that you can’t afford something. Simply explain that expensive items are sometimes luxuries that require saving.
Set a budget early. Help your children learn how to create their own budgets by giving them allowances and helping them figure out how to budget their money for the activities they want to do. Explain that if they spend all of their money on one activity, they won’t have any left over to do something else until the next week.
Teach the importance of earning and saving. Tying your children’s allowances to chores can help them learn the value of working to earn money. Stipulating that they save a certain percentage of any money earned or given for holidays and birthdays will allow your children to make valuable decisions about purchases.
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