According to an article on Forbes Magazine, in teaching our kids how to handle money, leading by example is still the best way to do it.
For instance, parents may not have the heart to say no to their kids thinking that buying and spending everything for them is equal to the kids’ happiness. But if they’re spending so much, while forgetting to pay their bills and are $50,000 in debt, then it is teaching them the wrong idea. Once in a while, it is best to say no to the child when she or he would ask for something. This mindset of consumerism with many adults must be avoided so that kids will not equate happiness with spending.
- Lead by example. Families can have fun without having to spend a lot and your child will appreciate you more for this.
- Resist the urge to using the credit card a lot, especially when the children are present and can see you paying. This way, they won’t let it in their heads that a credit card can save everything.
- Teach your children to save at an early age. These may be pennies, but you’re teaching a great value to your kids.
- Give the children a chance to be involved with money matters. Parents often refuse to discuss this in front of the children and would say that this is only for adults to decide. But if you discuss money matters early, you are slowly teaching your child to value money.
It’s also great to explain to kids, for as long as they are able to understand, how the money system works and why people work hard for it.
Tags: adults, consumerism, credit card, forbes magazine, happiness, heart, mindset, money matters, money mistakes, money system, parents, pennies, urge, value money, wrong idea
