Talking about money is often a taboo subject, especially among family members. However, it is important to be able to know how to talk to your kids about money at an early age.
We, as parents, have an essential role in fostering our children’s attitudes and adopting good financial habits. Here are the 10 ways how to talk to your kids about money.
Speaking to children about finances takes some of the mystique out of money for them at an early age. It is more comfortable for parents to talk about savings, giving them a head start in math.
Encourage your children’s active participation in family matters that concern them. For example, they can make their case about the allowance they will receive, participate in family budgets for items you are shopping for like school supplies.
If you have made money mistakes, whether it was taking on too much debt and paying it off or not having enough liquidity at times, share that with your kids.
If you haven’t opened an account yet, involve your children when you open the account and explain it to them. It is good to know that saving early may reduce the need for student debt later on.