Today, the key to most of the happiness begins with money management. Someone who knows how to earn, save and invest efficient is regarded as a good “money manager”.
The importance of money has to be taught right from the childhood days. This teaching has to be imparted basically at home and along with the various teachings imparted to a child.
There are a few ways through which the practical handling and importance of money can be explained to children
The first and foremost step while putting across the significance of money is to make them learn the art of saving. On a regular basis you can give a certain amount of money to your child which need not be a huge amount and ask him to put in his piggy bank. This will inculcate the habit of saving regularly.
Money in bulk
At regular intervals, you can take out the money saved by him in the piggy bank and show him the “volume” of the same. You can explain him that the bit by bit saving has resulted into a huge amount of money. Even though your child does not understand the concept of counting he will at least know that if he saves regularly he will get a huge amount after a certain point of time.
Make him purchase
Once the money is deposited in bulk you can buy something very close to his heart and he has wanted to buy it for quite some time now, out of his money only. This act of yours will make him understand that if he saves he will be able to meet his wishes which can be fulfilled through saving money.
Strict or liberal
There are some parents who are too strict with their children and in the name of disciplining them they hardly buy them anything of the child’s choice. Such children when see others holding the same thing they either feel jealous or sad. There are other set of parents who buy every possible thing their child asks them to buy. Both the approaches are nothing but spoiling the child.
As parents it is one of your responsibilities to ensure that your child learns the right kind of values regarding money so that he grows up to be an individual who is flawless in using his earning and securing his future.