HOW TO INTRODUCE MONEY TO YOUR CHILDREN AT EVERY STAGE.

BrendaPersonal Development

We are living in a period where parents feel that when their child is working it’s kind of torture. You want your child to enjoy your entire hard work without experiencing how it feels. Experience is the best teacher, If you don’t teach children that money is not instant, the world will teach them the hard way.

It very common to find married people who are still dependent on their rich parents. Simply because they never understood how to earn. They have always had everything given to them. It is sad because their children too will learn how to depend on their parents in the future.

Here is a step to step guide on introducing money to your children in every stage.

NURSERY (PP1$PP2 ) Ages 3-5

This is a stage where they demand everything because they don’t know it’s worth it. On common visits at the mall, it’s quite normal to find a kid at this age crying to be bought a toy. Some will even scream to be bought something worth half a million!

Simple tips of introducing money to 3-5 year olds.

1.Pay them for completing a task

This will include simple tasks like doing their personal hygiene perfectly may be for a week. This includes brushing teeth, making their bed, dressing by themselves generally being tidy. At this age you want them to be consistent in getting clean. After a while, it will be a task that they will get used to.How to motivate your children to be focused.

2.Introduce a clear piggy bank/jar

A clear piggy bank will enable them to see how their money is growing. You can have three piggy banks on savings, sharing, and spending. The savings will be maybe for buying something after a period of time. Spending on buying candy and sharing for helping the needy or just anyone in need. Children at this stage generally enjoy and valuable coins.

3.Show them things are valuable

If your child asks maybe for a toy. Sacrifice your time and go to the toy shop with them. Let them show you the kind of toy they want. Count their savings money together to see it’s worth the amount. If the amount is not enough you can go back and let them save more. You can show other options they can go for with their money. Always teach them the value of patience.

4.Lead by example

You should not be a spendthrift too. This stage children are very observant of what they see. Just be the role model.

Children at this age tend to visualize. Doing all practical experiences with them will enable them to grow mentally. They will tell that money is not easy to obtain. People work for money. Let them also understand you as parents also work to get money.

Grade 1-4 (6-9years)

At this stage your kids can at least tell that money is valuable. They can continue keeping their jars.

financial lessons to introduce at ages 6-9

1.Emphasize on the importance of giving

At this stage, your child is more mature. Let them learn that everyone is different. That there are people who lack. Let them learn the aspect of sharing the little they have with the less fortunate. This will start at home, where they will have to share some items at home. Giving can be at the church, a charity event, or just in any needy situation.

2. Introduce them to small business if they are talented

At this stage, some children that are very talented can start earning money as a reward. Maybe some are artists, they can sell their work, others are musicians, actors name it all. The little they earn should motivate them to become better. With what your kids will have saved, Introduce the concept of needs vs wants to them. This will certainly improve their saving culture. Some children even before they attain this age do earn a lot from their talents. Keeping their income in a fixed bank account can be better.

3.Make learning fun

Children at this age enjoy money games. Let these games be very educational to them for them to understand the concept of money.

Mostly at this age kids will learn to do simple house chores, like cleaning their rooms, helping in washing utensils, and clearing the tables after meals. If they are consistent, they can earn a reward. Let them learn a lot that will not endanger them. Reward them for completing a novel and verbally analyzing it to you.

Grade 5-class 8 (10-13 years)

At this stage your child should have learnt a lot on money.

Financial Lessons to teach t 10-13 year olds

1.Let them make mistakes

Choices have consequences. If they make a mistake, next time they will be more cautious. Try to make them understand their mistake and you can teach them how to avoid such incidences in the future.

2.Introduce them to compound interest other than allowances

Help your kid understand these calculations. What if they start saving earlier? They will have more in the future. That some of the duties they were given allowances for are now their responsibilities.

Allowances can make you raise very ungrateful kids. They will think that getting money is effortless. At this age, your child should be knowing that doing the house chores is their responsibility. Let them know that the house is theirs and you are all working to make the place better.

You can look for specific tasks that they are going to be paid for.

3.Introduce a bank account

This is where they will be saving their earnings now. This way they will learn to have long term savings. They can buy something that is quite expensive after saving for a period of time. That money can also be a future savings plan for college.

Form1-4 (14-18)

Some children at 14-18 are very mature. They clearly know the concept of money. Here are some of the lessons they should learn:

1.Contentment

Teens are mostly attracted by what they see. It is a visual stage, they are always on social media. They want branded clothes, shoes and some even want a brand new car. This a very critical stage, where as a parent you will feel that your child is inconsiderate.

Teach them on appreciating the little they have. That they should not compare themselves to others. The key thing at this age is teaching your child on appreciation and gratitude. As long as he or she has clothes gratitude is key. There are some wishing to be like him. Let them not give up on working hard.

2.Introduce budget

If you had not started the budget when they were young let them get involved even in the family budget. With their savings too, they should budget for every item they purchase. At this stage, they should have avoided the concept of being spendthrifts.

3.Introduce them on loans,taxes and credit cards

This does not mean they take a loan. Give them examples of bad debts and good debts. Tell them about taxes too. You have to show them the consequences of taking a student loan. The fact that loans have an interest rate, one should be conscious. Let them save more keeping in mind they are saving for college. Teach your children on maintaining a good credit card record. They should also know of better alternatives to education like scholarships. They should also be willing to work part-time when they are in college.

4. Investments and making money

At this age, you almost have a young adult. Especially for those who are 18 years of age, they can legally start working. This may include creating jobs like running craft stores, selling their art. They can open social media accounts that will pay them tremendously for their talents. At this stage, most kids are very idle with a lot of free time. Since the idle mind is the devil’s workshop, you will find those that are idle engaging in drug and substance abuse and irresponsible sexual behavior. If your child is busy trying to make money he or she is likely not to fall like the rest.

Proverbs 22 says; Train up a child in the way he should go, and when he is old he will not depart from it.

This simply means that habits are developed and they will stick with your children. Be the best example as a parent and your children will understand your concept better. If you are capable, always support their talents, maybe financially to become experts in their fields. Education on money should never end as long as they are under your care. If possible you can also introduce them to financial books and apps as early as possible.