Teaching Your Young Children About Money

The top 10 points in teaching your children about money:

  1. Children learn from what you do, not what you say so be aware of your behaviours around money.
  2. Educate yourself to think and talk like a person with a prosperous mind-set and it will rub off on your children.
  3. Teach your children that money has to be earned. Prepare a job roster of things they have to do daily as part of your household and other jobs which they can do to earn pocket money.
  4. Talk positively about money in your home and how you are dealing with certain situations. Do not share your burdens. Share your successes and strategies.
  5. Use everyday experiences to teach your children about money management. Let them see the practical application of what you are talking about. Let them write out cheques for you instead of you doing it for yourself. Get them to invoice you for special jobs they do for you to earn money.
  6. Remember that often you will not receive much acknowledgement from your children when you discuss money issues with them, but you’ll be amazed years later when they come out with words of wisdom about things you never thought they’d listened to.
  7. Share some of your financial goals with your children in a way that they will understand and so they can support you in achieving your goals. Allow them to be a part of your dreams too! Help them to set financial goals for themselves. Encourage them to stay on track to reach their goals.
  8. Treat your children as if they are already the way you want them to be.
  9. Motivate your children by showing them how to make money in an entrepreneurial way e.g. inspire them to conduct cake stalls, drink stands, do lawns and wash cars. If they are older, encourage them to do some share trading perhaps if they are interested.
  10. Encourage your children to dream big dreams.

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