You have taught your child the basics of life but have you taught them how to manage their money?
It is never too early to start talking with your children about finances. The way your child handles money will affect their future. We want our children to get a good education, to start saving for the future and to build financial security.
Here are some financial tips for you to help your child:
- Be an example. If finances aren’t your strong suit learn how to manage your finances and involve your child. They can learn by watching you.
- Separate love from money. Showering your child with money, or gifts, secured from credit sends the wrong message. Instead of buying them more “things” show your child how much you love them by spending time with them.
- Communicate. Talk to your child honestly about the basics of money management and the difference between wants and needs.
- Assist in choices. Research options with your child, help them weigh the pros and cons of a financial decision.
- Assist in visual cues. Show your child a grocery receipt so they can visualize the cost of food, show them how purchasing a more expensive item can affect your buying power.
Share with your child all you know about how to handle money before they leave for university. Our certified counsellors are available to work with you if you need some assistance in this area. Choosing an area of study is one of the most difficult decisions we ever make. Help your child research realistic job opportunities – their locations, salary and advancement possibilities. There are hundreds of scholarships available, including ours, that can help lift some of the financial pressure facing a student.
The stronger the communication with a parent about money, the better prepared they will be when handling their financial decisions in the future.