When and how to teach children about money is a vital aspect for a future of successful personal finance. Financial expert Jonah Engler, breaks down how and when you should teach your children about money in this presentation.

1. Teach Children about Money

2. If your child is old enough to intelligibly ask you to buy something while
visiting the supermarket, it is time to start teaching them about making
and saving money.

3. How to Make Money
Teaching your child how to be financially responsible needs to start
with a discussion about how to make money. You cannot save what you
do not have. If your son or daughter is still young, try giving them a
small amount of money to perform specific household chores. Make a
chart listing the chores and the set amount of payment and post it on
the refrigerator.

4. As your child grows, try increasing the amount of money you give them
for harder chores around the house. Once they are old enough, you can
begin to encourage some self-employment options if your child seems
interested. For example, if your neighbor needs help mowing the lawn
or washing a car, let your child ask to do the task in return for a small
fee. Other children may develop more creative ways to make money,
such as making and selling friendship bracelets or baked goods.
Remember to pay your child promptly so they learn hard work is
valued.

5. How to Save Money
Once your child begins to earn money, even a small amount, begin to
emphasize the value of saving for a rainy day. Open a savings account
for your child and make weekly trips to deposit at least 10 percent of
their earnings.
An older child may enjoy saving with a specific goal in mind. If your
daughter, for example, has been eyeing that new bicycle, help her to
shop around for the best price using store ads or the internet. Once
you find the best price, encourage her to save up money towards
purchasing the bike. Try using a chart to show the amount saved versus
the amount needed to buy the bike.

6. How to Share Money
A child that knows how to save money is also old enough to share it.
Help your child to research charities. Once they find one that catches
their interest, work with them to develop a set amount to give to this
organization.
It is never too early to start teaching your child about the value of
money. By teaching your children these lessons early, you could be
encouraging the development of the next big entrepreneur…or at least
a financially responsible adult.

7. This post was repurposed for distribution. To read more articles just like
this from Jonah Engler, visit his main website at JonahEngler.com.