Blog

Aug
08
4 Ways To Teach Your Child About Money

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Previously we discussed how to talk to your child about money, now it is time to go over how to teach your child to save and manage their money. Researchers at the University of Cambridge found that children’s money habits are formed by the age of 7 which makes the first few years of a child’s life very important financial foundational years.

Here are four easy ways to start teaching personal finance skills to your child:

1. Apps- Thanks to the ever-evolving digital world parents have access to a variety of great money managing apps for their children. Savings Spree, PiggyBot, and Green$reets are apps that focus on teaching children how to save up the money they earn through challenges and games as well as budgeting to buy the items that they want.

2. Piggy bank- A tried and true method used by many parents over the years. This method paints a clear picture for children to understand the importance of saving money to purchase something they really want e.g. a new toy.

3. Allowance- Tweens will benefit the most from this step because they will learn that money is only earned when a task is complete.

4. Bank Account- Once you have a teenager on your hands the best way to teach them about money is by encouraging them to get a part-time job and opening a bank account. They will learn the importance of managing their own money in a professional setting.

Parents, what are your favorite ways to teach personal finance skills?

By: Alex Wood