When it comes to teaching your kids about money management, some of the most important lessons will happen outside of the classroom. Our short-term lenders are here to offer a few helpful tips for making this transition to financial independence a little less hectic.
Give Your Child an Allowance
Financial experts assert that giving your child an allowance can help instill positive money habits. Kids greatly benefit from the opportunity to manage small amounts of money starting at a young age. By doing this, they can make little mistakes when the stakes are low and learn from them moving forward.
Encourage Saving
If you could only teach your child one life lesson about money, our short-term lenders suggest driving home the importance of saving. While there are a number of ways you can do this, make sure you impress upon them that money saved is money earned. Urge them to set aside part of their allowance or paycheck every month. Set savings goals and, when the time comes, teach them about the value of interest on interest!
Utilize Real Life Lessons
Next time you head to the grocery store or take a trip to the bank, bring your kids with you. This is a great opportunity to teach them about checking accounts, using coupons to save money and the value of a dollar. A casual approach like this will inspire questions and encourage an informative dialogue.
The topic of responsible money management can seem overwhelming, but there are tools and strategies to make the conversation easier. Contact our short-term lenders today for more helpful tips and tricks!
