Wondering how to teach your kids about money? Read this first

**This is a collaborative post

As parents we take pleasure in teaching our kids many things. From their first steps to their first words, riding a bike and even about relationships. Our kids never stop learning and we never stop teaching. But have you ever thought about teaching your kids about money? 

Sure they’ll learn about coins and monetary values at school, but what about money in the real world? How to save, the best ways to spend your money, how to invest – check out this website for the latest information about investments – and how to have good spending habits.

Unsure of where to start? Don’t worry, here you’ll find some super simple ways to teach your kids all about the value of money and hopefully, give them good habits for life. 

Save those pennies – in a clear jar!

We’ve all had a piggy bank…wondered how much was inside and then after we’ve smashed it to smithereens, been quite disappointed by the grand total inside. So, why not swap the traditional piggy bank with a clear jar instead? Why? Because it gives kids a visual and allows them to see how much they’re actually saving. Therefore encouraging them to save even more! Make sure you’re talking it through with them, so they know how exciting it is! 

Remember that little eyes are watching you

Your child will pick up all their habits from you. Good or bad! So, you need to make sure you’re setting a good example with your own spending habits. If you’re constantly buying things off the cuff and using your debit/credit card without a seconds thought then they’re going to notice. Or if you and your partner are always arguing about money; who spent what and how are you going to afford things, then they’ll notice that too. Make sure you’re setting a healthy example for them to follow.

Switch to cash

Using plastic makes spending money easier, both physically and psychologically. So, if your kid wants to spend £5 they’ve saved in their clear jar on a toy, take out the money, show them how to count it and let them hand the money to the cashier. This simple action will teach them all about spending money then a 20 minute lecture ever will. They’ll understand that once you part with your money, it’s gone. Rather than invisible funds being deducted from a digital bank balance.  

Don’t give allowances

Don’t worry. I’m not here to tell you how to be a parent. If you want to give your child money, then that’s great! But experts recommend giving your child commissions, rather than allowances. If you allow them to earn the money, rather than just giving them cash simply for existing then it gives them a healthier relationship with money and helps them to understand the value of it. 

So come up with some age appropriate tasks for them to complete around the house for a week, at the end of the week you can give them what they’ve earnt.