sb10062269k-001.jpgChildren should have a clear idea of money, what they serve for and ways to treat them. This will help them orienting in adult’s life in future and knowing how to earn as much money as they need, taking right financial decisions.

Ways of teaching:

1. Explain children where money is taken from. It is very easy. Take a sheet of paper, picture a sum you earn, then subtract everything you have to give in the form of taxes, pay for apartment etc., and show what is left for you, what you can spend. Then subtract a sum you spend on foods and show what is left for toys, cloth etc. Now your child can see why you cannot buy him this or that expensive toy and in general everything he wants.

2. Determine quantity of pocket money you give your child. This can be done in a somehow original way. Give him a sum of money a week, equivalent to his age. For example, 7$. This quantity should be regular, later you can give him more money, as encouragement for something.

3. Show how pocket money should work. Tell a child about ways of spending earned money. For example, one can save 1/3 or 2/3 for some big purchases or future purpose, maybe education. Thus, a child will learn distinguishing important gains from trifling ones. He won’t be able learning this, in case you decide what to buy instead of him.

4. Forget about sops. No matter how cruel it may sound, you should stop buying toys, computer games, CD, DVD (in general, various luxuries) to your child, as soon as you started giving him pocket money. Here we have several pitfalls. Firstly, you should give your child enough money to save up for a desired thing. Secondly, there should be a clear differentiation between luxuries and necessary things in your family. Adults also should keep this rule.

5. Teaching responsibility. You can teach a child responsibility during cleaning or any other variant you choose yourself. Several variants are better, then a child has a chance to choose. If you are orderly persons, you can choose following model. If a child forgot putting away something (toy, CD, sweater etc.), you put it in a special parental basket where it should be kept for about 3 days, as a fine. If a child needs this thing a lot, he can take it earlier, redeeming it for a token payment from his pocket money. Nevertheless, realization that you should spend your personal expenses to correct results of your inaccuracy teaches a child responsibility.

Next time he will think about his actions. However, we accentuate your attention, if you are inaccurate parents, then teaching child tidiness would be cruel and unfair. However, there is a way out from this situation too. You can accustom yourselves to tidiness all together. I.e. a child redeems his things from you and you redeem yours from him.