Step Encourage Savings and Financial Planning

Studies find that a large percentage of kids today are wasteful when it comes to money: most want to spend rather than save. We need to help kids fight their spending urges and teach them money management skills when they are young. Here are eight ways:

• For a young child, buy a piggy bank to save coins. Make a rule that it must be filled before the money is spent.

• Give a weekly or monthly allowance (depending on age) so that she can learn to budget money.

• Make her write down her intended purchase and post it for a few days before she buys it. A younger kid can draw it on her "wish list."

• Older kids should be required to spend their own money on entertainment and nonessential items. Don't give out loans.

• Help a younger child open up a savings account and an older child a checking account so that they can monitor their money and spending.

• Require that a portion of her allowance go to a charity of her choice.

• Require a set portion of her allowance always to be saved.

• Say no to frivolous, rash buying and don't give in.

Was this article helpful?

0 0
Parenting Teens Special Report

Parenting Teens Special Report

Top Parenting Teenagers Tips. Everyone warns us about the terrible twos, but a toddler does not match the strife caused once children hit the terrible teens. Your precious children change from idolizing your every move to leaving you in the dust.

Get My Free Ebook

Post a comment