What’s the ideal time to start teaching your kids about money? Three years? Ten years? Read on and find out!
Believe it or not, the tiny and seemingly meaningless financial decisions you make in front of your kids are taken into account by their ever-exploring minds. Because of this, you should always be the biggest advocate of financial intelligence in your kid’s life from day one.
In the long run, you want your children to grow up into responsible, self-reliant money magnets. Here’s how to make your kids the geniuses of investing.
- Simplify concepts as much as you can
What do you think would happen if you took your five-year-old daughter through some delicate financial topic while using technical terms all through? Her mind would shut off; unless she is a replica of American philanthropist and one of the most successful investors of all time, Warren Buffet.
The method of delivery is important when it comes to kids. By using stock gift cards, piggy banks, and money games, you can teach some of the complex topics to kids, and they would diffuse the concepts in their minds.
- Make your lessons interesting and use real-life experiences
First things first; figure out how best your kids learn. Is it through watching entertaining clips? Is it through a one-on-one conversation? Is it by reading through something well-structured? Knowing this will not only help you formulate investment lessons for them but also gives you insights on how to improve their learning styles.
Tell stories about how some of the successful people emerged as the giants in the world of investment. To make things even better, give them your real-life experience; tell them how avoiding a particular debt would have saved you a great deal of money. Doing such small things could become quite life changing for them over time
- Clearly explain how investing is more beneficial than saving
Once they are a little bit older to understand things better, show your children that there is a better-priced possession than just filling their piggy banks; which is a great investment plan.
It would be so interesting for a kid to learn that they could use the money they have, to make more money. Make this lesson interesting by comparing the process to a big family tree, in which, money reciprocates money.
- Involve your kids in some of your financial decisions
Build the right kind of attitude in your child, and they will never depart from it. When it comes to making simple financial decisions, let your children be part of the decision making process. Make them feel responsible for something meaningful and explain to them why you opted to give money for a certain cause while pulling off investments from another.
- Build a millionaire mindset in them
There is nothing more important than showing your children how to think outside the box and never to limit the extent of their financial growth. Go through informative sites such as the States Chronicle News and show your kids how people who made wise financial decisions became investment experts. In one way or another, this will inspire them to the path of success.
Ultimately, education is the greatest investment you can ever make in a child. More so, helping them become technical experts and sharpening their wits as far as business and finances are concerned. Take this initiative and exercise these simple tips with your kids today.
