Teach your children good financial habits.
Wanting to look after your family is one of the most natural impulses in the world.
Ensuring your finances are in order will help you start to teach your children good financial habits.
Helping your loved ones instill good financial habits early on in life will help put them in a stronger position to achieve their goals in the future.
So, where should you start?
Teaching your children good financial habits early will ensure they become aware of what money is early on in life. Perhaps because they’ve bugged you for a toy or gadget, and you’ve told them you can’t afford it.
This is the perfect opportunity to start teaching them more about the value of money, saving, and managing your various expenses, from paying household bills to paying for luxuries and non-essentials.
Encourage them to save
You can get your children actively saving money from an early age by giving them a piggy bank or opening a Junior ISA.
Set a good example.
If you want to instil good financial habits into your children, you’re in a position where you can give them a positive example to follow.
Let them see you actively setting a household budget, weighing up how to spend your money. Show them your thinking process and the choices you make.
Over time, it will hopefully become second nature to your children, who’ll grow up emulating your actions.
Read the free guide to budgeting
Set financial goals
You’ll have various financial goals in mind, from making sure you can afford a family holiday to paying for a future wedding.
You can encourage your children to get used to doing this by suggesting they set goals for whatever they want to buy.
It doesn’t have to be on a large scale. For example, they may set their sights on a holiday with friends, an enjoyable night out, a new smartphone, or even a laptop.
Nevertheless, introducing this concept early on will instil in them the habit of ensuring they have sufficient funds before making any purchases.
Teach your children good financial habits.
Help them with budgeting as your children begin to earn their own money.
Through their first Saturday job, take the opportunity to sit down with them and impart valuable budgeting lessons.
Teach them ways to track their income and outgoings, enabling them to identify spending priorities and determine their remaining funds for discretionary purchases.
Please contact us if you have any questions about financial management and empowering your family.
