Teach your child the value of money

It is every parent’s wish for their child to achieve whatever they want to be in their life. But in realizing this dream, with the money, the father also has to spend some aspects related to the money for the children.

Making money is easy, you can make money doing any job, but saving money is the biggest challenge. Teach your child to travel with money, not to be a slave to money. Cultivate in him the habit of earning a lot of money, but not just thinking about making money throughout his life.

We will give you some of some money mantras that, if you give your son or daughter they can change your attitude towards money. It is not heavy financial planning, but things that happen on a daily basis, but their impact will be very deep in the lives of your children.

Need v/s Want

A “need” is something that is needed to survive or live. A “want” is something that an individual desires, but would be able to live without. A primary distinguishing feature is that a need is that it is necessary to sustain life.

No parent wants to say “No” to their child. Therefore, he answers all your requests, buys everything and gives it away, without considering whether it is necessary or not.

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Like expensive phones, iPads, expensive watches, video games, etc. But sometimes, as a parent, you feel that what your child is asking for may not be necessary.

So you try to avoid it by using various excuses, like: I’ll get it later, it’s too expensive, or some other mobile excuse. This is where you miss the opportunity to explain to your child the difference between needs and wants.

Instead of avoiding yourself, you should try to explain whether or not what is being asked of you is necessary. You have to do this practice for everything, all the requirements for everything.

Let him decide whether or not what you are asking for is really necessary. Little by little you get involved in your thinking, you will see everything, each decision weighing in the balance of what is necessary and what is not and then you will decide what you have to do.

Control on Greed

Money has to be spent, we buy the things we need. But this horse which he is in the hands of, tries to leave. So teach children to ride this horse from childhood.

A lot of research has revealed that when we shop in supermarkets, malls, we come home after buying more things than we need. The next time you go shopping, give your child the list and ask them to bring items from the grocery store, assuming they bring lots of things from the list.

Then he matches the list in front of him and asks why he bought the things on the list. So the answer will be that there was a 50% discount or there must have been an offer or something.

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This means that the goods that were bought on the list are not bought out of necessity but out of greed. Explain this to the child and ask them to remove all items from the list. You will find that after practising a few times you will not buy anything from the list.

Children Learn What They See

It is a proven fact that children learn what they see. In such a situation, your responsibility as a parent becomes great.

Your son or daughter will not learn about money until he sees him do it, so he needs to change his attitude towards money first.

When you bring something home, you must first find the answer to this question: what will they say to their children after they get home? Why did you bring it, was it necessary? Because the next time you convince them to buy something they don’t need, there’s no guarantee that your kids will or won’t accept it. This is why you must have heard Gandhiji’s story, you must first learn to stop eating brown sugar and then reject others.

Saving is a more Important Thing

You need to teach your child that earning is important, but saving is mandatory. Children should learn the habit of saving money from childhood.

Every day you have to put money in a small piggy bank. This is the first step in saving money. Your saving mind should work the same as hunger, thirst, and sleep. I mean, life can’t go on without him. And it is the father’s responsibility to mould it into this mould. You give an allowance but in order to save money.

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If you give him a 100 rupees allowance per day, give him a goal that if he puts 900 rupees in his piggy bank each month, his allowance will increase by 5 rupees each time from the following month. That is, you taught him that out of 100 rupees he must put 30 rupees in the piggy bank, the remaining 70 rupees he can spend. This is the basic formula for saving money. Your habit can do wonders.

Make Habit of Earning Money

Do your kids know how hard you work and how much money you make, maybe not? So explain this to them, they must say that they need to earn some money.

For that, you have to be a little practical. He gives the child all the household chores and gives him money in return. For example, if you clean your room, you will receive money.

If you keep full water bottles in the fridge, you will receive money, or if you bring a product from outside your home, you will receive money. With this, it will be understood in childhood that you have to work to earn money, it will change the attitude of children towards money.

Author

FinFormula was founded by Nikhil in 2020. I am a Investor in the last 4-5 years. I am writing here about Stock broker review, IPO investment, Stock News, Stock Results, Mutual fund, Broker comparison, Crypto Currencies, Technical analysis, Fundamental analysis, Personal Finance, and my experiences.

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