How do you teach a child to handle money? There is a good chance that you have been handling money for your entire life, but as you open your wallet now, where is the money? Like the rest of America you have probably gone ‘cashless’, so to speak, meaning you no longer rely on paper and coin, but rather the amount of money that is currently in your bank account. This might be find for you, as an adult, but when you are thinking about children, you may realize that they need something a bit more tangible, and with that being the case, it might be time to resort to some new(or old) measure to teach your kids about money. Let’s take a look at eight great ways to teach them about the currency they’ll be using every day for the rest of their lives.
Tangible Assets: Let them See the Money
We mentioned in the previous paragraph that you have probably stopped using paper money, but in order to give your children a sense of what money is, you actually need to let them handle it. For this reason, you might want to look into play money which is available at almost any educational store. Plastic coins and realistic looking paper money will allow them to get a handle on what the world of currency is actually like.
Give your child a piggy bank or any other type of personal bank with which they can keep the money that they earn or collect. Make them proud to fill it up!
Maybe kids don’t necessarily need to worry about budgets, but it can’t hurt to start early. Create a chart, or perhaps a goal sheet to show them what they are saving for. There is nothing quite like giving them a goal and letting them work toward it.
A great way to teach your children the value of money and how it works in our society is to allow them to open bank accounts with the money they earn or you give them. Many banks actually incentive programs for younger customers, so keep an eye out for that.
There are several board games, namely the game of Monopoly which give the children a chance to handle money, count it, and see what they can learn. You might be surprised.
Teach them About the Check Registe
Checks might be part of a bygone era, but keeping track of how much money you have spent is still important. Teach your children how to keep track using a check register!
Let them Watch Television
It is a common adult misconception that the programs on television will ‘melt your braid’. Instead, there are many educational programs on television that will teach children the basics of economics.
Let them Spend
Finally, don’t be afraid to let your child spend. Allow them to use their hard earned money in real life situations, and give them the practical experience they need.