From geometry and multiplication to reading and spelling, mastering the early basics are the cornerstone of a quality education.
“We all can certainly agree that education is important,” said Jonathan Roberts, Executive Vice President – Director of Retail Banking for First Bank. “But how often in traditional education are we taught how to manage our personal money? Far too often, this critical life lesson seems to be taken for granted or taught in a manner that isn’t relatable.”
To help guide teen-agers along a sound financial path, First Bank has developed a “Teens and Money” section https://www.firstbanks.com/personal/teens-and-money. From saving money to managing expenses, this section is geared toward helping teens learn simple steps to get started in managing their own finances.
Here are a few steps to help parents get started in teaching their teens and children about money:
- Engage your children, at young ages, in the budgeting process.
- Encourage children to save for purchases they want to make, or items they wish to obtain.
- Although you may be able to financially provide this desired item to your child, the idea is to teach him or her the concept of working to save up for things they want.
- For younger children, set an allowance for tasks and chores performed.
- Exhibit good financial habits to your children.
- Show children how to research and comparison shop, meal plan, negotiate, make grocery lists, clip coupons, balance a bank account, and pay bills. Showing them the financial aspect of running a household is sure to only help them later when they are running their own home.
- Studies indicate that parents shouldn’t be shy about talking about family finances with their children. This helps children in understanding finances from not only a broader spectrum, but also a more realistic approach. Often, what is read in textbooks is more easily comprehended than when he or she can experience first-hand.
- For older children, determine the age you wish for them to start working. Regardless of the job or pay scale, employment options can teach children the values of work ethic and earning their own money.
“We think a strong financial education is a key building block for their future,” said Roberts. “There are a many ways to start teaching your children about money, budgeting, saving, and finance. No matter what stage you and your children are in life, learning about money is important and fun.”
First Bank firstbanks.com is one of the largest privately owned banks in the country with $5.88 billion in assets and 126 locations in Missouri, Illinois, Florida, and California.