In most families, due to the influence of traditional concepts, the decision-making power of family affairs is always the elders, and children must obey their parents at home. In fact, this is not conducive to the cultivation of children's outlook on life and values. For children, their lack of understanding of family finances from an early age can easily lead to a disconnect between their consumption outlook and family income. Therefore, cultivating children’s money concepts and financial management habits from an early age will benefit them throughout their lives. How to provide financial education to children?

The first step: let the children know clearly "what is money?"

First of all, let the children know the importance of money. It is better to: money is the basis of survival; money is a necessity of life. etc. Secondly, let children know the relationship between success, happiness and money. Tell children that having money does not mean success or happiness. Money can meet people's material needs, but it may not necessarily meet spiritual needs.

Step 2: Let the children know that the family’s money comes from the family’s hard work

Let the children know that they have to work hard if they want to spend money. Let your children know that it is not easy for their parents to make money. You can usually let your children do some housework, and give them a certain amount of money as a reward after completing the work. This is to let the children know the necessity of labor. I personally think children should clearly understand that none of their parents' money is their money. This allows children to know from an early age that they have to earn money by themselves and cannot keep an eye on their parents' wallets.

Step 3: Let your children know how to use money effectively

When taking your children out, don’t let them buy whatever they see. Let them know where to buy at affordable prices. , let him understand the benefits of shopping around. Usually, when we take our children out to buy things, we don’t need to tell them which store sells more expensive items and which store sells them cheaper. Then, take out the same amount of money and let him go to two stores to buy the same pack of snacks. When he comes out of those two stores, we can ask him how much change he has left and ask the child to tell us which store. things are cheap.

Step 4: Let your children know the uses of money

In addition to spending money to buy things, money can also be saved to earn interest, and it can also be used for investment. Let children feel hope and happiness in the process of financial management. Let children know how to make money wisely and spend money wisely from an early age. I think when children grow to a certain age, we have to let them manage their own red envelopes and money. We can slowly guide them to manage it, but we cannot blame or criticize them.

The fifth step is to educate children about financial management from an early age

I think this is something our parents have not done enough. We always think that our children are still young and don’t understand anything. But it will be too late when the child becomes sensible. By then you will find that the child cannot listen to your teachings at all. So we start financial education at the age of 3. Why choose three years old? Because children start to understand some things at the age of three, but three-year-old children are still very dependent on their parents, and they will listen to our teachings. How to teach children?

I think you can refer to this:

3 years old: teach children to identify coins and banknotes.

4 years old: Teach children to understand that we cannot buy all the goods and must make choices when purchasing.

5 years old: Teach children to recognize the equivalent of money, such as: 1 yuan can buy two lollipops or a pack of QQ candies, etc.

6 years old: Teach your children how money comes from, and it does not fall from the sky.

7 years old: Teach children how to make change.

8 years old: Teach children to read product price tags.

9 years old: Teach children to understand that they can make money by doing extra work, such as helping their mother buy groceries, sweeping the floor, shining shoes, washing dishes, and learn to save the money they earn in a savings account.

10 years old: Educate children to learn to make individual weekly spending plans and learn to compare prices when shopping.

11 years old: Teach your children to save a little money every week to prepare for large expenses.

12 years old: Teach children to independently formulate and implement a monthly spending plan, teach children to understand and correctly use banking terms, such as: bank cards, current time deposits, etc.

An adult should not only know how to make money, but also how to manage money. Our generation has never learned financial management since childhood. Even if we have money now, we still don’t know what to do with it. If we only deposit money, we cannot make money at all. If we make other investments such as stocks, funds, futures, etc. Because most of us don’t have this knowledge, we are particularly afraid of the unknown. Also, most of us only know about financial management in terms of deposits or investments, but we don’t know that the management and control of daily expenses and income are also financial management. We only see tangible investments, but we don’t realize that investments in personal growth are also important. For example, your children’s academic education, your own and your family’s intellectual investment, etc. Therefore, if we let our children learn to manage money from an early age, they will be able to avoid detours and mistakes in their financial management journey in the future.