How to teach your KIDS to manage FINANCES right from the begining?

“A Fresh mind gains the most”. It’s quite obvious that nothing can beat a fresh mind or we can say a “kid’s mind”. It's powerful, super-active, creative and most importantly it learns things much quicker than a teenager’s or an adult’s mind. Just like a seed; the way we nurture it, the kinds of fruits we get from it. That is why from the very first, kids are being taught about mannerisms, discipline etc.

But in between all these, there are certain practical things that are needed to be taught with proper care. Usually, there are complaints from parents about their teens that they don’t utilize money properly, they waste it or misuse it. A lot of people graduate from college without any idea of how to manage their money or balance their bank accounts.

Have we ever thought that where the mistakes lie? Maybe like every other lesson, finance management should be taught to the kids as well. Though a question arises, whether these little kids are capable of handling money at this small age? The answer is, of course, yes! It is good to teach children basics of finance as early as possible. Like, at the age of seven to ten, they should purchase things they want, under supervision. Kids should be taught the value of money.

There are certain methods that can be followed for helping kids to manage finance from their early childhood itself:

1. THE PIGGY BANK IDEA –

This would be rated as one of the best ideas to manage finance at the very early stage. Usually, kids are fond of the piggy bank because it not only keeps their saving but is also a great toy to play with. Above all this, if it’s a clear jar then they get more excited as they see their money growing.

2. POCKETMONEY –

The concept of pocket money helps to build up a quality of proper utilization of money. If they are given a certain sum to spend for a certain time period then they’ll count on to every penny before spending it. They’ll also make sure that they spend their amount on certain useful items only.

3. A BANK ACCOUNT –

There are certain banks which provide various Children Schemes for opening a minor’s a bank account. Opening a bank account at the age of 10-11 can bring a sense of responsibility to the child.

This is not the end, but this is the start for our kids to develop themselves in such responsibilities. This is the time to give them a sense of responsibility. There are many of us who look back on our childhood and wish we would’ve been taught about the same? Don’t we?

Written by Manisha Choraria

A Graduate, Full of enthusiasm. Bollywood freak and full of life. Love writing and aspire to evolve as a good writer.