Healthy money habits to teach your kids
It’s never too early to teach your children healthy financial habits. By teaching these habits now, your children will become financially wise adults.
Here are some money-related habits you can teach your children right now.
Model good behavior
Take the old adage: Monkey see, monkey do. Children pick up on parents’ habits just by watching. Be aware of your spending habits around them. If you’re constantly spending on the newest gadgets and cars, children are likely to think “I want it, I can have it” attitude. This could lead to financial mistakes. Show good behavior by shopping on a budget, by using coupons or making home-cooked meals.
Make them wait to buy things
Teach your child discipline with spending by showing them they don’t always get to buy something. If they want a toy or game, tell them they can ask for it for Christmas or birthday. Another way you can have them wait is by earning money for chores around the house.
Teach them to save long-term
A way you can teach them to save is splitting their money or allowance into different accounts. Some options could be a savings account for big purchases, long-term savings for college, and money to spend immediately. Give your child the experience of going to the bank to deposit their money. You can even help them set their long-term goals or determine purchases they would like to save toward.
Learn from their mistakes
If your child saves up for something they regret later, that is a great learning experience. It may teach them to make better choices in the future.
Other strategies
Teach your child with some of these tips:
Birth to toddler years
- Start saving early
- Pay a small allowance
- Use a piggy bank
Elementary years
- Show ways to save such as a savings account
- Allow some spending
- Invest early
- Start to give back to charitable organizations, church, and fundraisers
- Have fun with money-teaching websites and apps
Middle school years
- Share your household budget for hands-on experience
- Shop wisely
- Teach advanced investing
High school years
- Teach advanced budgeting
- Save more for college
- Teach the value of work
- Get a debit card
The information in this article was obtained from various sources not associated with Adirondack Bank. While we believe it to be reliable and accurate, we do not warrant the accuracy or reliability of the information. Adirondack Bank is not responsible for, and does not endorse or approve, either implicitly or explicitly, the information provided or the content of any third-party sites that might be hyperlinked from this page. The information is not intended to replace manuals, instructions or information provided by a manufacturer or the advice of a qualified professional, or to affect coverage under any applicable insurance policy. These suggestions are not a complete list of every loss control measure. Adirondack Bank makes no guarantees of results from use of this information.
