Do you sometimes wish you had started saving early in life? Do you look back to your university days and all the fun you had and wonder why you wasted money that way? Well, at least you had a good time. Although in hindsight, a better tomorrow is worth some restraint today. This is something that can be avoided if kids are taught from a tender age about the value of money and what it means to save. It is not just about buying them a piggy bank; it is the value of the lesson that is inculcated from childhood to adulthood. Many parents forget all about the piggy bank when the child gets to a certain age instead of continuing with the education. When it comes to kids and finances, consistency is crucial as one shall see when they visit your url.
Kids hardly ever forget values instilled early in life
Some of the lessons you teach the kids, especially if it is something they will be able to relate to, they hardly forget. It is important for kids to understand the value of money and why we need to save. They need to understand the tuition paid for their education came to be because of the savings their parents made, a little at a time.
They need to understand the difference between needs and wants
Planning for finances is necessary when doing it with kids. You can have an exercise where they come up with a list of things to buy. Then together, go through the list separating the needs and wants. By informing the kids that you will be able to purchase the needs today then start the saving process for their wants. Let the kids be responsible for the savings. In this way, they can watch their savings grow until it reaches a point where they have saved enough to buy something they want. For more on this, visit your url.
Importance of earning
This is an equally important lesson that kids need to understand. They need to know that money is not received as an entitlement, but it is earned. You can assign specific duties to kids that is beyond any of their chores then pay them for a job well done. This is a valuable lesson for kids so that they do not take it for granted when it comes to earning a living. They need to understand that requires much toiling and hard work and that it pays in the long term. Instilling this lesson together with the habit of saving is a great way to introduce aspects such as saving for emergencies as seen when one chooses to visit your url.