How to talk to kids about money. Tips for parents

It's a good idea to start talking to your kids about money when they're young.

Many of them see money coming and going from their wallets, but they don't know where it goes or how easily it can be spent.

Having little ones learn the value of money at an early age will contribute to their success later in life. 

In this way, children will learn how quickly money disappears when spent on non-essential items, learn how to spend wisely, how to save and learn to make better choices in life.

It is your responsibility as a parent to give them all the information you need. Here's how you can get started.

1. Give your kids a weekly or monthly amount of money and let them decide how to spend the money during that period.
2. Give your kids opportunities to earn extra money for their savings. Reward them for any help with an extra amount of money.
3. Teach your children to divide their money into categories to contribute to different purposes: some for investments, some for a new toy, some for school, or some for a candy they want. Make sure they don't miss the piggy bank.
4. Show the children a bill from home, for example the electricity bill. Challenge them to further reduce consumption and cost by saving electricity. Turn off the TV and lights when I'm not in the room. The little ones will eagerly await the next bill.
5. Show them the value of money in everyday activities. If the little ones break a toy, they need to know that they need money to replace it.
6. Gradually, you can introduce them to financial activities and games, such as Monopoly.
7. Encourage them when they succeed in reaching their financial goals.
8. If the little ones want something big and expensive (for example, a vacation or a new TV), quickly organize a fund in which the whole family can contribute. A coin jar can be a good start.

Track children's savings regularly and work with them to set new goals. Little ones will learn the meaning of responsibility, perseverance and work needed to obtain more expensive goods.

In addition, they will become interested in investing and saving. Teach them not to expect the money of those around them to help their lifelong relationships. They must take responsibility if they want to fulfill their desires.