WITI-TV, Milwaukee—
As young as 2 years old, children observe ALL of our behaviors and dealing with money is one of those behaviors that take place everyday. Money gives everyone no matter what age opportunities to make decision, helping our kids make educated, motivating and empowering decisions soon than later can help them avoid costly mistakes in the future. Here are some tips to educate your children about.
As soon as children can count, introduce them to money.
- Teach kids to put money in a piggy bank
- Start with money identification – difference between penny, nickel, dime, and quarter
- Explain to them the difference between wants and need
Teach your children the difference between a credit union, bank, and check cashing store
- Start with a savings method- save a little, spend a little, and give a little (charity)
- Teach the importance of savings
- Teach them about financial products- what is a checking account- how does it work, how to you keep track of money going in and out?...
- Compounding interest
Setting Goals
- Save for something they really want- a toy, brand name item, video game
- Create an allowance - Identify ways for your child to earn money though work- help them make a list and keep a chart of all the chores is a value to money – and is made though hard work
Teachable moments
- Use regular shopping tips as an opportunity to teach
- Talk about using coupons, making a list, shopping sales and comparing prices
- Using credit cards- explain how one works and interest and charges that are calculated , protect from credit card fraud
- Schedule regular family discussions about finances - Based off age there are many sources/ games/activities
