Who is teaching your kids or grandkids about money? They likely aren’t learning about it in school; only 17 states in the U.S. currently require students to take a personal finance course. Many parents avoid talking with their kids about money because of their own financial frustrations or regrets. If kids aren’t learning about money at home or school, then they are either left in the dark or will learn financial habits from their peers and the media.
Regardless of what is taught in schools, parents and guardians are still the primary educators when it comes to teaching children about earning, spending, and saving. April is Financial Literacy Month, making it a great time to teach your kids or grandkids about money. It’s never too late for these critical lessons to begin!
Tip 1: Be a role-model.
Tip 2: Play money games.
Tip 3: Get your child involved in household finances.
Tip 4: Encourage saving with a matching program.
Tip 5: Increase the complexity of the lessons over time.
For young children, lessons about money may be very simple, but older kids can handle additional complexity. Making your monetary lessons age-appropriate will enhance their effectiveness, so your kids can grow up to be financially savvy adults.
As your kids get older, they likely will have a basic understanding and appreciation for money. In order to deepen their financial literacy, it’s important to give them a little more independence. That could mean letting them work a part-time job during the summer, or letting them purchase necessities like clothing or a smartphone.
Teaching your kids about money may be one of the best investments you’ll make, and the principles you instill in them at a young age can last a lifetime.