Financial literacy is one of the most important but least taught subjects that should be applied in your child’s learning and adulthood . Children learn about money because they see it on television, friends and parents. As a parent, you can help your children start their lives with the right money without teaching for hours each day.
There are five basic ways to help your child about the value and use of money:
Shopping Game Play
There are many kinds of shopping games and you can even create a game of your own. You can give your child a fixed amount of money and ask him to buy as much food as possible. For example, you can ask your child to get the most goods from your child by setting 5 foods you need and allocating for each food. With this game your child will have to learn and apply comparative shopping skills to buy as much food as possible with a limited amount of money . Another way to teach them to shop is by purchasing your shopping list and certain amount of money and asking them to purchase the products on the list. We thought about your child as a source of motivation:to increase the exchange of money it awards give in!
Include Your Child While Creating Your Budget
Older children who understand the concept of family budget may be responsible for a part of it. For example, do you want to have a family holiday in Bodrum this year? Give your child your budget and your expectations from the holiday. Let him do the rest! Let your child search through the internet, tour companies to find the best prices and to use the budget in the most effective way . Even if they make a mistake in their choices, they have little effect on your family budget, and this teaches them a more valuable lesson than your loss . The holiday was just an example I gave; shopping spending, entertainment expenditures are also suitable for this example.
Teach Using Budget Tracking Tools
There are millions of games that you can play on smartphones in our pocket, as well as financial budgeting and applications where you can monitor your spending . Ready to use in your personal finance software shows you how to use the programs their children. Even your children can manage their own budget from this program. Learning to track all expenses will be a great way to be ready when it’s time to manage your own family budgets .
Virtual Money Management Account
Learning how to invest money and how the process works is critical to creating an effective savings and retirement plan. You can learn how your stock market works and how stocks are traded by opening a virtual investment account to your child . This is the most beautiful and risk-free way of reading financial news , learning how world events affect the stock market, and determining how an investment portfolio diversifies . You can reach virtual portfolio applications and competitions on the internet.
Make Your Own Budgets Fail
Every man makes a mistake in budget spending, even once. Let your children make mistakes when they are young . For example, when they spend a certain amount of time, phone or toy allowance they spend a certain period of time, they will have no money for other things until the new era starts. Let them live! Even encourage them to make such a mistake. They will then review whether the choice of spending is the right choice and will be more careful next time .