But there should be some limit to what you should do for your children, they should not get the vibes that every demand they put will get satisfied. This might make them stop valuing the importance of money. Even if you are financially very strong, you must teach the important lesson of life to your child that is the value of money.
If they will learn valuing money they will definitely start realising how important money is in their life. The child should get into the habit of thinking twice before spending money. In order to make them learn the value of money here are few tricks which parents can use.
Try To Become A Role Model For Your Child
The first school for every child is their home only. It is from their home they learn the basic lessons of life, so why not start it at home. Since you are the first teacher of the child so why not guide him / her about this matter. Whatever you do will be correct according to him/her because he/she learns everything from you.
That is why to make your child learn the value of money, it is you who should first learn to value it. Before buying anything from the market, tell your child why you are buying it, what is the need for that thing and what should be the right price you should pay for that particular thing. If you will deal with the money matters smartly, your child will also learn the trick and learn the worth of money.
Encourage The Child Regarding Money Matters
Whenever you go for shopping or for buying anything take the child along. If the child wants to buy something ask him to look at the MRP or the Market Retail Price of the product. Not only this, ask him/her to compare the price of two similar products so that he/she understands that what is the profitable deal for him.
Tell the child to read about various discount coupons or sales advertised in the store and to inform you about them. If you are going for a vacation or a short trip, then too tell your child in an informative way about the expenditures and the spending you are making on that trip. This way the child will slowly learn all the nitty gritty’s about expenditures and learn to value the money.
Fix a Pocket Money For The Child
Even if you are taking care of all the needs of your child, then too every month you should give him some pocket money. Start off the trend of giving pocket money with smaller amount and as he grows increase the amount. This way the child will learn how to spend money in right way and on what things. After every two or three months ask him/her in a friendly manner about all the details, that where has he/she spent his/her pocket money.
Teach The Importance Of Savings In Life
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To nurture this beneficial habit buy a piggy bank for your child when he /she is very young. This way he/she will learn the habit of saving very quickly. You should also keep on adding some money every now and then to his /her piggy bank. When you feel that he/she is mature enough to understand the importance of savings in life get a savings account opened for him/her in the bank.
This way he/she will start learning how to save money at very young age only. Tell him/her that this money totally belongs to him/her and he/she can buy any nice and expensive thing he/she wants to from his/her savings. Teach him/her how to maintain his/her account and maintain a regular balance in the account.
He/she should know about the interest rates and all the necessary things related to his/her personal savings account. All these things will make him/her learn all the best saving techniques and most importantly he/she will learn the benefits of savings.
Involve Him/Her In Financial Planning Of The House Budget
If your child is grown up and is around 13-14 years of age then, make him/her a part of all the important financial plannings you do for the house. Whenever you plan a monthly budget ask him/her to join you and your spouse, this way he/she will learn an important part of money management and budgeting.
Not only this, ask for his/her valuable suggestions which he/she can give for improving the monthly budget planning. If you find some of the suggestions worth implementing, then do involve them in the budgeting, this way he/she will feel that he/she has given significant contribution towards saving and planning the budget for the house.
At the same time the child will learn about the monthly expenditures and savings and how to manage them for the whole family. Keep a small portion of the monthly income for donation too, this will teach him/her the significance of charity. Along with doing charity the child will learn to help the distressed and needy monetarily and develop the feeling of generosity.
Learn To Say ‘No’
It is good to shower all your love and kindness on your child, but satisfying all the needs of the child is not good. That is why it is important to say no to few demands that your child puts. But do not simply negate his/her demands, tell him/her the reason behind your denial.
Even if your child is not demanding, then too do this once in a while, because making the child wait for some things is good for the child. He/she learns the important lesson of life that is patience. Saying no or delaying his/her demands will teach him/her tolerance and endurance. Thus by following these simple 6 steps you can easily make your child learn the value of money and he/she will definitely become a responsible person in life.
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