Helping Kids To Save Their Money

By Rachel Ray

Many teens now don't seem to understand the value of spending and earning money. Many times the thought of investing even if they are still students doesn't cross their minds. As parents, you are a vital role model in this area.

You should be able to teach your kids on how to save money. They should be able to understand the concept of money and investment as early as childhood. This will prepare them to learn money management, as they grow old.

Here's some suggestions you can teach your kids about how to save money:

1. Your children should be taught of the value of money. Once they know how to count, is a great time to teach them the true meaning of money. Be consistent and teach them in simple ways, do this often so that they can remember what they were taught.

2. Teach them about saving money. Why it's important and how it will impact their lives. It's important to allow them to ask questions about money to you, and sharpens you in the process as you respond to their questions.

3. When giving them their allowances. You need to give them their allowances in denominations. Then you can encourage them that they should keep a certain bill for the future. You can motivate them to do this by telling them that the money can be saved and they can buy a new pair of shoes or the toys they want once they are able to save.

4. Teach them the lesson of working. Pay them (or find someone willing), to small odd jobs or chores around the house. This will help them with the concept that money needs to be earned, and not just simply given, just because. They will also learn to value it more when it's something they had to work for.

5. Teach them to save money by using a piggy bank that they can put coins in then wait until the bank is full. You could open a bank account for them to let them deposit money from their savings. Show them how much they have worked for to keep them motivated.

Savings and money is not something that is learned at one time in one lesson. Be patient when teaching them and work the concept of money into their activities for a natural learning moment. Children will learn easily if you are patient and consistent to guide them and encourage them.

About the Author:

By Rachel Ray - Drop by her site with lots of resources and ideas to help a family on a budget cope. There are also lots of parenting tips and much more! Grab a cup of coffee and look around!