It’s never too early to start teaching kids how to make the most of their financial future.
As parents, we are focused on preparing our children to lead successful, meaningful lives. Even though they spend a large portion of their childhood in a classroom, personal finance isn’t usually a major focus. Since that’s the case, The Money Guy Show has some ideas on how parents can get their kids started on the path to financial mastery.
It’s important to focus on the fundamental concepts of saving and investing to help them establish healthy money habits from an early age.
- Generosity – Teach them about the importance of the abundance cycle and being generous with their money.
- Saving – Highlight the concept of spending less than you earn and the power of delayed gratification. Consider your own dollar for dollar matching program to give them an extra incentive to save!
- The Power of Compounding Interest (Time) – Consider opening a Custodial Brokerage account or a Custodial Roth IRA (if they have earned income) so that they can experience the magic of compounding interest, first-hand. Make sure they understand the amazing opportunity they have as young savers with the ‘Wealth Multiplier for Young Savers‘ deliverable on the free resources page.
For more ideas on teaching kids about money, check out the following highlights from The Money Guy Show.
Video: The Most Important Financial Lessons You Need to Teach Your Kids!
Video: How to Teach Your Kids About Good Money Habits
