While a majority of Africans still believe you should wait for children to grow up so that you can start teaching them about money, the opposite is actually true.
Teaching kids about money when they’re young lays the foundation for responsible money management later in life.
Children whose parents emphasize the importance of financial literacy and encourage them to spend and save thoughtfully develop a healthy perspective on money.
Below are easy ways you can educate your kids or young relatives on how to handle money.
1. Talk to them about money
Discussing money with your kids is the best way to educate them. Talk about your thinking on spending and saving to enlighten them on their future choices.
2. Budgets Together
Budgeting with the kids helps them understand priorities and how they need to be balanced in relation to finances.
3. Consider an allowance
Once you teach all these skills, consider giving them an allowance and then monitor how they spend. Giving children a small allowance also helps children learn about making choices with their money.
4. Teach them contentment
Kids, especially teens, spend a great of their time in front of screens. One of the best lessons you can give them is to not fall into that comparison trap.
Contentment starts in the heart. Let your teen know that their Subaru (although not the newest car on the block) is still running well enough to get them from point A to point B.