Why A Financial Education Should Not Be Postponed

By John M. Box, Ph.D., on March 16, 2009

It is often said that imitation is the sincerest form of flattery, so ask yourself if you want your child mimicking your financial practices. It’s more important than ever to provide a solid example of financial basics and talk to your kids about money to help prevent the next generation from being in more financial trouble than our own.

Three Kids And Money Tips

Here are a few points to keep in mind when it comes to youth and financial literacy:

Practice what you teach

Children’s eyes are just as observant as their ears. If you lecture your kids on saving but then turn around and purchase what you like with your credit card, they are most likely to learn that practice from you. Make it a point to discuss saving for big items with your kids and pay with cash whenever possible.

Involve your kids

When making a big family decision, especially when it relates directly to your kids, include them in the conversation. This could be saving for college, deciding to go to summer camp or purchasing a new vehicle. Let them know your reasons for making decisions and gauge how well they understand. Now bring it to their level. On the next trip to their favorite store, note the items they ask for and the cost. Instead of saying yes or no immediately, sit down and discuss the cost and benefit of each item. Have them work through the situation to see which item would hold the most worth for them.

Break through the clutter

Children and teens are bombarded with advertisements in every form of communication. If you’re not talking to them about money, advertisers are. By instilling smart money management skills early, you can help your children filter through the mixed messages and avoid the constant need for instant gratification.

It’s Okay To Ask For Help

Adults themselves vary greatly on the financial literacy spectrum. If you don’t understand a financial concept, take steps to learn, then share your new knowledge with your children. And remember that you’re not alone. Programs provided by Junior Achievement all over the globe teach kids in grades K-12 financial literacy. You never know, after a few classes your kids might even have something to teach you.

Read more about

Get free updates

    via Twitter
    via Facebook
    via RSS or Email

Share this article

• 
• 
• 
• 
• Share

John M. Box, Ph.D. is the Senior Vice President of Education, JA Worldwide. Junior Achievement is the world's largest organization dedicated to inspiring and preparing young people to succeed in a global economy. Through a dedicated volunteer network, Junior Achievement provides in-school and after-school programs for students which focus on three key content areas: work readiness, entrepreneurship, and financial literacy. For more information, please visit www.ja.org and become a fan of the JA Worldwide Facebook page.

All posts by John M. Box, Ph.D.

Please share your comment:

Comment Rules: Constructive criticism is welcomed. Please use your PERSONAL name or initials and not your business name or URL, as the latter comes off like spam and I'll most likely delete your comment. Have fun and thanks for adding to the conversation! Here's our comment policy and guidelines.

5 blogs that link to this article:

If your trackback does not show in 24 hours, please resend to this trackback URI.

1. Friday Stack: Late Edition | rocket finance
2. Link Roundup | Do You Dave Ramsey?
3. MyBarnabas : T.G.I.S.: The End Is Near Edition
4. 100 Incredibly Inspiring Blog Posts for Educators - Learn-gasm
5. 100 Essential Blog Posts for the First-Year Teacher | Online College Tips - Online Colleges