Lifehacker shares information from Dealnews.com about different ways to teach kids how to manage money. Good money management skills will save your kids from dealing with consumer debt. It’s never to early to help your kids learn these skills.
Here are just a couple of the tips:
- Give Your Younger Kids Money to Manage
You can either give them an allowance for nothing or you can tie an allowance to chores. The latter is better because it helps kids to learn that they have to work for the money they get. The article shares some ways to make allowances more real to kids.
- Teach Your Kids How to Budget
There are some great tips here. If you give your child $5 a week in allowance, it’s a good time to discuss dividing that allowance up. Little kids work better when a concept is made visual. You could have a jar with a portion of their allowance available to spend now. Another jar could hold a portion of each allowance for savings ~ maybe for a toy they want to buy. You could also have a third jar for money used for charitable giving or some other goal.
There are 5 more tips that will help your kids learn how to save and also how to spend their money wisely. Again, it’s never too early to teach your kids money management skills. Click on the Seven Ways to Teach Kids How to Manage Money link below to see all seven tips.