Here are seven money habits you can start teaching them today.

Fun financial games

Not everyone enjoys dealing with numbers or creating a budget. This is even harder to instil in children who are still developing. Therefore, creating fun financial games that can help them grasp concepts quicker and that will stick needs a bit of creativity. Our age appropriate fun financial literacy games are a starting point, but you can also put a spin on things by creating your own fun game to help your child understand certain financial concepts. 

Separating needs from wants

Children are wired to be impulsive, but this can have negative effects as they grow and start to handle their own finances. Helping your child understand the difference between needs and wants and how to use their allowance as a way to practice this can help them as they get older. Depending on their age, you can use your own budget as an example of how you separate needs and wants. Give them the power to decide how they want to separate their pocket money to cover their needs and wants.

Understanding the value of money

Knowing the value of money and how you can use it to your advantage is one of the benefits that financial literacy can teach us. The same can be said when it comes to teaching your child about different notes, and how money can give us access to certain things we want. Allow your child to experiment and make mistakes to understand the value of money and the impact that comes with making certain decisions when it comes to finances.

Setting financial goals

Encourage them to set financial goals, even if it is towards purchasing something like a toy or gadget. Practicing the art of delaying a purchase by helping them save and planning towards the big purchase can help them understand the benefits of saving, investing and even understanding the impact of regretful purchases. 

Shop with them

The best teacher is experience. Encouraging your child to join you in creating a budget for themselves or the house and shopping with them by asking them to help you compare prices to finding deals that can help save money.

Give them responsibilities to cover their expenses

As your child becomes a teenager, try giving them responsibilities such as asking them to choose something that they will have to pay for each month. This could be as small as saving towards entertainment and activities they would like to do or data. Introducing them to savings accounts can also help them grasp the importance of choosing an account that comes with benefits that will help them in the long run.

Credit

Credit and debt are one of the biggest issues we face as a country. However, there are ways in which you can help your child understand the consequences of borrowing money. Helping them grasp the concept of building good credit and borrowing money for things that can help them build their finances. It can also help them understand not spending money they do not have.