The concept of kids saving money is more of a reality than most people realize. Children learn more through demonstration than just telling them what to do. Help them to save up for a big item buy offering to pay for half if they can save the other half. Earning money from hard work not only teaches them the value of money, it teaches them to appreciate what they worked for.
By the time your child reaches elementary school they are going to ask for everything their friend has. Unfortunately, you may have the income to give them what they are asking for. Set limits and allow your child to decide on what's more important. For example, if your daughter wants a new shirt and to go the movies, explain to her that you don't have the money to do both but she can have one or the other. Then allow her decide which she would rather have. This will teach her the importance of making wise decisions and how it affects you.
Teach your child how to balance a checkbook early buy setting up a fake store around the house. As long as the
Children get most of their habits from their parents. A frugal family does not have to mean a family that goes without. Take your children with you when you go shopping and give them tips on how to compare products in order to get the most for their money. Open up a savings account in their name. Using the money they saved from the tactics you taught them, your child will be able to watch their money grow.
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