Gamers and Bookworms: Train Your Child for a Solid Financial Future
Gamer and bookworm parents, have you started teaching your little ones about money management? As gamers and book loving parents, we have – at times – a very expensive hobby/nerdy love. I know because before I began my money management plan, I spent more on books and games in a month than I did on food. Crazy huh? Consequently, this was not good for me or my daughter who has her own list of needs and loves books and games just as much as I do. So, it’s always important to properly manage your finances and keep yourself on a good budget, especially if you’re worried about how much money you spend each month with each nerdy transaction. Take the time to try out some of these cool tips to not only manage yourself and keep track of your finances, but also to train your children for a solid financial future without breaking your nerdy piggy bank.
Train Your Child for a Solid Financial Future
The key to financial success is money management. A surplus of cash is always desirable, but you should invest it. Borrowing money may be necessary, but you should avoid interest payments whenever possible. You optimize cash flow when you have exactly enough to pay current expenses. When you teach your child about cash flow, you have taught the most significant lesson of financial success.
[dropcap style=”2″ size=”3″]H[/dropcap]ow do Children Learn?
Children learn by doing. Teach them simple things before you teach the complicated things. Make certain that they are learning responsibility with each task. When you are convinced that they are accepting responsibility, you should teach them money management.
[dropcap style=”2″ size=”3″]P[/dropcap]iggy Banks
When you give your child an allowance, you should encourage him or her to put part of it in the piggy bank. Be certain that your child understands that saving for a special purchase is essential. Also teach your child that saving for retirement should be a top priority of every pay check that your child earns.
[dropcap style=”2″ size=”3″]C[/dropcap]hecking Accounts
When your child has matured enough, you should teach him or her how to balance a checkbook. It doesn’t matter if you deposit the money into his account or if he earns his own money, you should be certain that he or she knows the penalties of overdrawing and sloppy recordkeeping.
[dropcap style=”2″ size=”3″]S[/dropcap]hopping
Plan shopping trips with your child. Before going shopping, you and your child should search newspapers for sales and coupons. While at the store, you should let your child find the items, check the validity of the coupons and place the items in the cart. Teach your child to compare the unit price of products.
[dropcap style=”2″ size=”3″]O[/dropcap]nline Shopping
The Internet offers many coupons and promo codes. You should teach your child how to shop online to take advantage of savings on every product. You may do a search for product coupons or website products. For example, you may search for boostmobile.com coupons or boostmobile.com promo codes to find savings for their products. Savings on every item that you buy will stretch your budget dollars.
[dropcap style=”2″ size=”3″]C[/dropcap]ash Flow
Teach your child how to plan cash flows. Show him or her how taxes, insurance payments and other items occur unexpectedly, and how to plan for them. Teach your child that paying cash is better than paying interest.
You should also show your child that some publications will allow lower unit prices with longer subscription terms. Taking advantage of these discounts will add stability to cash flow.
On the other hand, insurance companies may let you pay your premiums in installments. Unfortunately, the smaller payments will cost more that it’s worth.
[dropcap style=”2″ size=”3″]C[/dropcap]redit Cards
Perhaps credit cards are the most serious disrupters of personal finances. You should teach your child that credit cards are good only when the bills are paid in full by the due date. The high fees and minimum payments can ruin the best financial plans. Every person should exercise self discipline in using credit cards.
Parents should prepare their children for life with lessons in good money management. They should be certain that the children know how to use coupons, promo codes and other methods of savings when purchasing products. They should also make certain that their children know how to save to pay cash for special purchases.