How to give money lessons to children

Money is important in life and should be used wisely. It is important that children understand the value of money and not waste it unnecessarily.

You can start the money lesson at the age of five or six as children start to understand the working of the world around them at this age.

It is better that they are introduced to the concept of money in a positive manner to help them handle money easily as they grow up.

Here are some tips about helping children understand the use and value of money.

  1. Explain how the money is used in exchange for goods and services. Children should be told about why money is needed in life.

  2. Explain how you work hard and get paid salary in return. Children need to know that earning money takes hardwork and patience. This will help them respect the money earned.

  3. Help them do the math with money. Play a shopping game to help them understand currency and its worth.

  4. Give some monthly allowance to children and encourage them to save. Get a piggy bank for the kids and start saving.

  5. Children follow by example. You can help them save money by doing the same. Do not waste money on things that are not needed. This will help set good habits for when the kids grow up and start earning.

  6. You can also help a child open a minor savings account in a bank. This will make them feel more confident about using banks for saving in the future.

  7. Help them plan the spending from what they have saved and help set saving targets.

  8. You can give them small responsibilities at home and then pay them for the chores. Like cleaning their room every week, making their beds.

  9. Do not complain about shortage of money in the presence of kids. This will create a negative impression on them about money.

Watch in Sign Language

Read More