Children's financial profiles. Where does your little one fit in?

Your little one might fit perfectly into one of the models, but might just as well have characteristics from several profiles.

Below, we present to you six basic types of behavior in which children can be found when it comes to money and its management. The typologies below represent an adaptation of the classification made in the book "Financially Fit Kids", by Joline Godfrey, CEO and initiator of the experiential approach in the field of financial education.

1. The squeezer

This is a child for whom saving is one of the goals of life. Don't miss any opportunity to save a penny. Moreover, if he has to contribute to the purchase of a toy that he wants with all his heart, he prefers to give it up rather than break the piggy bank.

What problem could occur? Once he becomes a teenager, the little one could become obsessed with money and have the impression that finances are valuable in themselves and not because of the various desires and needs that can be satisfied with their help.

2. The spender

This behavior pattern is the opposite of the hoarder. It is about that child who, when he gets his hands on a small amount, goes straight to buy something, anything, even a candy. For him

money is a source of pleasure and gratification.

What problem could occur? Over time, the amounts he will get will increase, and the tendency to spend could become compulsive. So the first undesirable consequence could be debts of all kinds.

3. generosity

He's that kid you can expect to leave home with two cars and come back with none. He believes that everything must be shared, he even believes that it is not a problem if he or she does not have something left.

What problem could occur? The giver can have trouble when it comes to saving. Furthermore, this type of child might tend to always put others first.

4. beggar

This is the child who always has a need or a desire. Every time you go out with him, he asks you to buy him something. Sometimes he cries or even rolls around the store if you refuse to please him.

What problem could occur? Often, this behavior is a consequence of the treatment applied by the parents who make the little one consider himself the center of the universe. If he doesn't quickly understand that money doesn't grow on trees, the child may end up developing real hysteria, and once an adult - develop strong frustrations seeing that he can't get everything he wants.

5. entrepreneur

He is the little one who is constantly looking for ways to multiply his pennies. He has a strong entrepreneurial spirit and sees in any context the potential to start a small business.

What problem could occur? In general, the entrepreneur is a desirable model, therefore he should be encouraged and supported by parents. In addition, the family should guide the little one's steps towards correct and assumed business behavior.

6. indifferent

This child simply shows no interest in money or discussing finances. The day he can pick up his allowance is a day like any other, the fact that his grandparents give him a sum on his birthday to buy what he wants is rather a reason for sadness.

What problem could occur? The little one's disinterest could, with time, turn against him. Having to manage money issues, the young adult could find himself stuck, or make wrong decisions.

Now that you have reviewed all these typologies, have you realized where your child fits and what problems might arise in the future?