It is important to start as early as possible helping children understand the value of money and the responsibilities that go with it. By gradually introducing your child to financial matters, you will provide the opportunity to become involved with money directly. Here are some ideas to help build your child’s financial foundation:
- Take your child with you when you cash your paycheck, make regular savings account deposits, or go grocery shopping. Demonstrate how to prioritize buying decisions and save money for future goals.
- Allow your child to handle his or her allowance independently. However, to teach your child self-discipline around money, stick to a set schedule for paying your child’s allowance.
- Present opportunities for earning extra cash to spend as your child wishes, and remember to reinforce the importance of saving at the same time.
By showing your child ways to manage money early on, you will be building your child’s financial foundation for the future.