5 significant money concepts to teach your kids

The cornerstone to enjoy perfect financial freedom is to learning some fundamental money concepts. If you and your children are not aware about them then you I think you have a perfect time to learn and develop these habits in your kid’s mind. Being a financial expert, I always deliver speeches on significant money concepts needed to develop in our children, but how? Who should develop these roles in them? Off-course parents, if your parents are teaching you right financial values then no reason your kids suffer in later stages.

So here is some valuable money concepts need to develop in early ages so that your kids enjoy ideal financial life.

1.   Budget: a central pillar to perfect fiscal life

I know it’s very difficult for parents to teach their kids about budgets. You don’t need to open books and ask them to learn about financial life, you should be practically teach them by openly declaring your needs like your mortgage payments, credit card fee, kid’s school fee, domestic needs and so many important things. You should teach them to divide their small pocket money and how to use it on several other needs. You can do this by playing Monopoly, and show how much money you earn every month. Then divide this money by making separate corners for bills, fees, foods, payments and savings. Encourage him to make suitable budget and save some money for charities, some for needs and some for fun.

2.   Save for hard times:

I have seen many people who don’t concentrate on enough savings and tend to consume money on unessential needs. If parents will adopt these habits, then it’s definitely transfer to their children and they will do the same. So parents should make their self a role model, teach them to save money for rainy days, for sick days and for sudden plans. And unfortunately they did not save for these reasons, and then try to teach those alternatives like if they are above 18 years then they can successfully apply for safe & secure services with least interest. In this way they can save their self form strenuous times and definitely from much embarrassment.

3.   Develop love for hard work:

Those parents, who teach their children to not work and enjoy life with luxuries, are definitely spoiling their kids and their future. If you are enjoying stable financial life then it doesn't mean that you develop some lazy habits in your children, in fact you should develop love and careful perception in them so that they learn to love with their work, and start earning in even young days. By doing this, they will make their future somewhat better and stable.

4.   Emergency funding:

Emergency funding is another way which saves you from enough worries. if you don’t have enough savings for travelling to any essential event or giving birthday gifts then try to apply for a loan that is helpful enough to cover urgent needs. So teach your kids about them properly so that they can make their lives better :)

5.   Short & long term savings:

 Teach them the benefits of short & long term savings. Like if they want their own cell phone, then ask them to save money in a jar and don’t consume your dollars on unessential hang-outs and movie tickets, instead put them in a jar and after sometime you might be able to buy the items of your choice.