Teaching Kids Financial Wellness

Financial literacy is an important skill for kids to have. Enhance your child's financial wellness with these ideas.

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Financial literacy is touched upon in most schools, but many children don’t get the education they need when it comes to learning about managing their money or paying taxes. That’s why it’s so important for parents to talk about money and to teach their children about different concepts like receiving and spending an allowance, or utilizing toys and fun games that introduce money skills.

Because it’s never too early to learn the value of the dollar, Parenting with Focus has lots of tips and resources to help you get your kids off to a great, responsible start.

Talk About the Benefits of Ownership

HGTV points out that owning a home comes with a lot of advantages, including financial security. There are several considerations to make with either buying or selling, such as where the current market stands and how many homes are available in different areas. Talk to your child about how they can make the most of the buying process when they’re ready.

Give Them Options

Like financial concepts, careers are often touched upon in many schools, but entrepreneurship is typically not a focus. Talk to your kids about the benefits of starting their own business and why it’s important to look for various types of funding. Teach them that, despite our best wishes, money doesn’t grow on trees!

Fundable notes that crowdfunding is a popular concept that more and more young people are beginning to understand. To capitalize on this, you can also discuss angel investors, as well as what a loan is and how to actually apply for one.

Many kids are interested in the idea of making their own money, so look for ways to help your child get started with their own business, such as making and selling baked goods. You can also encourage them to keep track of their expenses and income using a simple app. It’s all about learning about finances and making it fun. After all, the more fun they have, the more engaged they become, which is a recipe for long-term success.

Read more articles by Janice Russell at Parenting Disasters