Gorham, Liz

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DigitalCommons@USU

How Do I Teach Money ManagementConcepts To My Children?Liz Gorham* answers:First of a Two-part SeriesEarning money is often difficult for children and teenagers; however, careful spending ofmoney can be even more difficult. Consider these tips when teaching earning and spendingconcepts. Next week’s column discusses teaching youth about saving and borrowing money. • Discuss the responsibility of youth taking jobs outside the home. Such a decision willaffect both the youth and the parent. Let them know your expectations of how earningswill be used and the level of support you will provide (such as driving them on the paperroute when it rains). Also negotiate the level of financial support you are willing to giveonce they begin earning money. As children move toward financial self-sufficiency,parents can plan to gradually withdraw their financial support. • Be sure that time devoted to earning money is taken from children’s leisure time, notfrom time used to study or perform household tasks.• Help children set up a financial record book to keep track of earnings and expenses.• Assign your children tasks that they do not get paid for. This encourages responsibility forhousehold operation. These should be unrelated to tasks they are paid to complete. • Communicate your beliefs about money. Include your children in family financialdiscussions and decisions that are age appropriate. This helps them feel valued and thatmoney is not a taboo subject. Let them make mistakes and learn from the consequences.Make sure they know that you have made mistakes too. Also let them know that you can'tafford to buy everything you want. Taking them window shopping could help illustratethis point. Explain what quality, availability and other comparison factors mean.• Explain the bigger financial picture of spending. For example, a movie involves not justthe price of admission, but gas for the car, popcorn, drinks, time and energy. Help themconsider all factors when making decisions about money. * Liz Gorham is Utah State University Extension Family Resource Management Specialist

How Do I Teach Money Management Concepts To My Children?

https://digitalcommons.usu.edu/cgi/viewcontent.cgi?article=1236&amp;context=extension_histall

How Do I Teach Money Management Concepts To My Children?

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