Are you a bad financial role model for your children?
Parents are children’s first teachers. Although a parent’s role in their children’s learning evolves as kids grow, one thing remains constant: parents are their children’s learning models.
Your child will learn from your actions on a day-to-day basis. These days, emphasis is given to the academic achievement of children; after all, not everything is taught in schools. Not only do we, as parents, have to watch our manners and language in front of children, we also have to ensure that we are giving them the correct guidance in terms of spending money.
To children, money is just a means of obtaining something – you give money to a person, you get the item you want. They do not understand the value of it, nor do they realise the amount of hard work that is put in to earn this money. So, it falls back to the parents to teach them proper money management from a young age.
How do you know if you are guiding your child in the correct direction in finances? Here are some common mistakes you should avoid:
1) You procrastinate talking about money to your children till they are old enough
It is never too early to speak about money to children. From a young age, explain good spending habits to them and encourage them to save money in their coin box. Some parents encourage this by matching the amount the child has saved before banking in the money in the child’s savings account. As they grow slightly older, explain the value of money to them.
2) Giving in to temptations while shopping
Going off your grocery list is a bad example to set around children, this makes them believe that it is okay to go off their set lists. Strictly adhere to your grocery shopping list. In cases where you are going to do some comparison shopping, it will be good to bring your children along.
3) You “bribe” your children to help with household chores
Do not ever pay your child for helping around the house – this will instil a sense of reward in them. They need to help their parents with household chores without payment – this will inculcate a sense of responsibility in them.
4) You encourage your children to save, but have strict limitations on what they can spend it on
Allow your child to spend the money he has saved on items he wishes to have, do not stop him from purchasing the item he has his sights set on. This child will learn the importance of setting financial goals in his life.
5) It’s alright to compete with your classmates
As parents, we have a tendency to compare our child with his classmates or children of friends. Normally, our comparison is meant to work as a motivation for our children to work harder and begins and ends at examination results. However, the child may take this approach differently and start comparing himself to his friends in terms of gadgets or toys owned.
6) Always saying “yes” to your children’s demands
We have all seen the embarrassed parents of children throwing a tantrum in departmental stores. This usually occurs when the parents denies purchasing an item (more often than not, a toy or a treat), the child screams and yells. While this may be very humiliating in public, we need to learn to say ‘No’ when circumstances call for it.
Article Originally from AKPK website