Cathy Cresser.com

Teach Your Children

by Cathy Cresser on 07/06/10 at 11:32 am

Because I never learned at an early age the importance of financial health I was determined to teach my son as early as possible. He learned there is “college fund” that he had to contribute to when he received gifts on his birthday and at holiday time. Some of his gift money he could spend however he wanted. If there was  something he really wanted he had to wait until he had enough. He learned early that we would not buy the latest toy and electronic games unless it was for a special occasion. If he wanted something badly enough he learned he had to save for it. These lessons are so important to teach your children.

Teach your children about the importance of stable financial health.  

Teaching children about the benefits of stable financial health is never as easy as it sounds. Children are known to imitate their parents. So always remember that each of your moves is watched closely by your child. It is your own conduct that they are going to imitate in public. If you are in the habit of treating your money casually, don’t be surprised if your children develop the same traits.

Making your children aware of the importance of a stable financial condition is possible when they are given the opportunity to handle small amounts of money by themselves. You can do this by giving them weekly allowances and helping them figure out ways to decide upon useful investments. Children find it difficult to be dissuaded from their sudden whims. Your daughter might end up spending her entire allowance in getting trendy make up for herself. Help her to set long term goals. Find out if she wants you to get her something grand on her next birthday. You can explain to her that even she can get it for herself if she is can save her allowance efficiently. Make it clear to your children that saving does not necessarily mean hoarding up all your money.

Influence your children to start using piggy banks, the pink, fat belly pigs can help them hold on to their dreams. This will help them understand that money is always earned in a hard way, and saving it would mean that one has to control one’s little unnecessary whims. Let your child fulfill his or her small dreams, help them in picking the right things when planning to buy well thought out items. Once their goals are achieved, let them feel like grown ups, like people who are independent enough to satisfy their chosen dreams.

My son is now ready for college and we are as prepared as we can be with the “college and car funds!”