It is crucial that your child has an idea of personal finance at a young age. You want them to grow up knowing how to pay their bills and understanding what it means to be in debt. Here are five ways you can teach your child about personal finance that can also be fun and memorable.
1. Take Them Grocery Shopping
Encourage your teen to participate in a “grocery day” with you to better understand financial literacy. Sit down with your child before shopping and go over your budget and your list. Explain to them how much you are looking to spend and the food you need for the week/month.
Have them help you coupon clip and try and make a goal to save a specific dollar amount. Take them with you to the store and have them help you look for each product. Make sure you stay within budget; you might want to consider bringing only cash with you so you don’t go over.
You can turn this into a fun adventure! This can make grocery shopping fun for the both of you.
2. Invite Them to Help You Organize Your Receipts
After your holiday shopping, you might be stuck with a lot of receipts and bills. Invite your child to help you organize your receipts to understand how much expenses cost. Your child may be surprised to learn how expensive things can be. This might teach them to think twice before asking for luxury items next year.
Your child also may be interested in holding a job so they can pay for more discretionary expenses on their own. You could even teach them a little about tax on products when going through your receipts. ...continue reading