5 Ways to Teach Your Children Well
Kids are such a blessing. As a mom of three boys ranging in age from seven to thirteen, I know how quickly they grow up.
My favorite time of the day is when my son greets me in the morning with a huge smile and gives me the biggest hug he can muster, one where he is really leaning into me. He lets me shower him with multiple kisses on his forehead.
Or perhaps on the weekend when my son plays soccer, breaks away, and kicks the ball towards the goal. Whether he scores or not, he’s a winner in my eyes.
These are the moments that make me a proud mama. It is my responsibility as a parent to create a safe, loving environment for my children to thrive.
You are your son or daughter’s best teacher. Let’s explore five ways to raise healthy, responsible children.
1) Do Not Spoil Kids
I can’t tell you the number of times that my sons have asked for things. I’m making a Target run and they gladly offer to come with me. Minutes into our visit, I remember their real intention for joining me: Pokemon cards, electronics or any new toy.
When we are at the grocery store, my sons will always ask for candy or other treats.
If you are faced with a similar situation, resist the urge to say “yes” to every request. You can spoil your children with hugs and kisses, but don’t be tempted to buy everything they want (even if you have the financial resources to do it). Instead, help them understand the difference between wants and needs. Also see if they are willing to pay for a portion or all of the item’s cost. Consult Ron Lieber’s NYT bestseller The Opposite of Spoiled for other ideas.
At Target, I tell my son that he must use his money or gift cards if he wants to purchase any Pokemon products or other toys. At the grocery store, I focus on buying nutritious food for the whole family. He must pay for “special” requests out of his own money. This keeps both of us happy. He often gets what he wants but learns basic budgeting concepts at a young age.
2) Instill Great Habits Early
Want to teach children as young as five-years-old how to allocate money they receive as gifts or by operating a lemonade stand? Consider three clear jars or plastic containers labeled:
Share
Save
Spend
I first heard of this concept several years ago through Nathan Dungan, founder of Share Save Spend. He suggested that any new money given to your child gets divided equally among the three jars. For example, $15 total would be divided into three increments of $5 each. The Share jar is used for charitable giving, while the Save jar eventually gets deposited in a bank account. “Spend” is self-explanatory.
Since each of us has different money temperaments, recognize that your child may naturally be inclined to put all of the money into a single jar. Come to an agreement where your child can direct more money to a single jar. I’d recommend making contributions to the other two jars even if in smaller amounts.
My oldest son’s natural inclination is to spend, so we typically put ½ of his money into the Spend jar and then the other ½ into Save and Share jars.
Cash gifts are not the only way to celebrate birthdays or special occasions. Bankrate offers 6 ways to give money as a gift and teach early financial literacy skills.
3) Give Them a Leg Up (Financially)
Get a piggy bank! I don’t know how it happens, but my kids seem to find coins all over the place. We may use the Share, Save, and Spend jars for larger denominations, but any coins they collect can go straight into the piggy bank.
It’s actually invigorating to see my son carry his piggy bank full of coins to the real brick-and-mortar bank for a deposit. We discuss how that deposit is going to earn interest (aka “free money”) just for sitting there. Younger children can sort some of the coins before the bank trip to practice math skills. These two small actions – sorting and depositing – work wonders in giving my kids a leg up in life (financially speaking).
Kids may also benefit from printable flashcards that explain financial literacy terms. For instance, these real estate flashcards discuss terms like mortgage, borrower, and lender.
If you want to take budgeting concepts digitally, consider FamZoo. They offer prepaid cards and a family finance app for kids, teens, and parents. Qube Money is ideal if you’re seeking a digital “envelope” budget system for yourself and want to monitor your child’s money on the same app.
4) Save for Future Opportunities
Saving for college is important but not the only consideration. If you want your child to invest early, companies like Stockpile are making it easy to buy fractional shares of recognizable companies like Disney and Amazon.
Worthy connects qualified borrowers (often U.S.-based small businesses) to individual investors. As an investor, you earn 5% interest and can get started with as little as $10.
5) Prioritize Service
If generosity is an important personal value, performing acts of service in the community is an excellent way to foster generosity in your family. One of the most memorable experiences for me and my two older sons happened in late 2018 when we packed food kits for families in Guatemala.
I could sense the kids were starting to feel entitled. When they learned that the food we were packaging would feed a family of five for an entire day, their perspective shifted. They stopped complaining about our family meals and felt grateful that we didn’t have to wonder where our next meal was coming from.
Don’t you want to instill a sense of service in your kids as well? Tithing strictly pertains to finances. God also asks us to give our talents and time to serve His higher purpose.
It may be difficult to find volunteer slots for young children, but a plethora of opportunities usually open in seventh grade and beyond. Consider your child’s passions and abilities. If he has a heart for pets, he may want to volunteer at the animal shelter. She may opt to organize nonperishable food items for a pantry. Adopting a family in need during the holidays may allow children of all ages to be involved.
At WorthyNest®, we guide parents through important financial decisions using a values-based approach. Contact us to explore a one-on-one relationship.