Money Finance Children Parents Business Responsibility Pocket Money Hobby

Money responsibility must be taught to children while they are still young, to help them manage their finances better when they are grown ups.   

Nobody knows what the future will bring, so preparing children to face life’s financial hurdles, is one way of helping them to cross the bridge if or when they come to it. Giving children a lot of pocket money and letting them spend it all on unnecessary things, is not teaching them to use money responsibly. Even if parents are very well off and they can afford to give their children much more pocket money than is usually the norm, children should still be taught to use money sensibly. 

The best way to teach children money responsibility, is to teach them to save a part of the money they have been given. Instead of spending every cent they have, they should be taught to spend only on what they really need and save a bit aside. This will teach them to think about a rainy day in the future when unfortunately, it may not be as easy as in the present to have money. This may be due to lack of work or being made redundant and if they were never taught about saving money when they were children, as grown ups they will be unable to save and thus will not have anything to turn to if the occasion will ever arise. 

Another way to teach children money responsibility is to let them know that if they exceed the money limit which is given to them, they will not be granted any more pocket money until the next month/week arrives. This will teach children to live with what they have. It is not good to let them live beyond their means, because now that they are young, there may be an adult supporting them who will give them more money as soon as theirs is finished, but in the future they may just have themselves to depend on. 

To learn the value of money, children should be encouraged to use their own money especially on things which really matter to them. Instead of parents buying their children every single thing, children should be encouraged to buy things for themselves from their own savings especially those things related to a favourite hobby or pastime. This will give them pride in themselves that they have bought something out of their own money and eventually they will learn the value of money and learn to treat it more responsibly. 

Money is a serious business which should be treated very responsibly and whether as adults they will have enough to live by or whether they will be great business persons, the concept of money will remain the same; they will have to live within their means or go under with the flow!