This is done so that later when the children start to get older, they will be able to start making some decisions about their finances. Such as deciding whether they will spend their pocket money or even act wisely by helping you decide how to allocate their allowance for things that must be done outside of school time like coming home from school or even on holidays.
Well, the following tips will help you to teach your little one how to manage their finances from an early age.
1. Introduce the Concept of Money
When children begin to be able to count, there is nothing wrong with introducing them to money by starting with the smallest fraction. Provide any information about money that your child wants to know. Knowing finances can also be used as a medium for counting so that your little one becomes smarter.
2. Give Allowance
To teach financial concepts, there is nothing wrong with giving pocket money to children. This is a great way to teach them how to manage their finances. Given an allowance, children will realize that everyone has a limited amount of money, so this way they will be more careful about using the allowance.
3. Get used to children to save
Provide an easy-to-understand explanation to children about what saving is like and what benefits they can get by setting aside their allowance to be saved in a savings account.
You can start teaching your child to put the remaining allowance in a piggy bank, or when the child is getting older, you can introduce them to a savings account.
4. Teach Children To Donate
Teaching children about how to manage finances will not be complete without an understanding of charity and sharing. For that, teach children to share with others and provide an explanation that not everyone has the same fate. In this way, children will begin to realize how important it is to share with others, especially those who are more in need.
5. Teach the Concept of Money through the Game
Games are an interesting medium to teach children how to manage money. Games such as monopoly can be an enjoyable way for children to learn how to manage finances. For that, invite all family members to play monopoly together.
6. Take Children While Shopping
Traditional markets are one of the best media to teach children about finance. For that, take the children when you go shopping, this way the children will see for themselves how to interact between sellers and buyers.
In addition, also encourage the child when you choose vegetables or fruit, so that the child can carry out his role as a consumer. Then, when paying, give a little explanation to the child why you paid a certain amount of rupiah to pay for the vegetables you bought.
So, here are some tips that can help you teach how to manage finances from an early age so that they get used to it. In addition to the above methods, you can also improvise in other ways that might affect the child.
