India is currently going through an economic crisis. We are spending more than we earn. In reality most of us don't know the value of money or how to spend it because during our childhood nobody taught us about it. We have to control the flow of our hard earned money. We might have made lots of mistakes in judging the importance of money and if we have learnt from it then the most important thing to do is to teach your child the art of spending money, so that they can secure their future and the coming generations.
Money Tree
Most of the children think that an ATM is a money tree and whatever they ask their parents will buy for them by plucking money from this tree. If your household is facing an economic crisis don't hide this problem from your child and let them know about it. If you think that your child will automatically learn the importance of money when they attain adulthood then it is simply foolishness. This kind of approach will spoil the future of your child and they will learn the ugly lesson that they can buy anything with their stubbornness.
Teach Your Child To Count
After your child is familiar with numbers, teach them to count money. Make them understand that 10 rupee note is not a piece of paper but 10 coins of 1 rupee make that one note. This will enable your child to understand that each penny is valuable. They will understand that the money required to buy a chocolate is not enough to buy a toy.
Teach Your Child The Difference Between Necessity And Luxury
When your child is going to school for the first time, buy necessary things like school bag, pencil, etc for them but don't buy a watch which is not a necessity at that time. Before you plan a shopping, sit with your child and make a list of necessary things you want to buy. When you go to shopping with your child, buy only the necessary things from the list. This will help your child to understand the difference between necessity and luxury.
Prepare a Budget
Always prepare a budget for the things like new clothes, toys, school bag etc which you are going to buy for your child and calculate the total expenses. Tell your child that you will only buy the things which are under the total expenses. This approach will help you to avoid embarrassment due to the stubborn behaviour of your child while shopping.
Be An Example
Children learn the art of spending money from their parents, so try to be a role model for your child. In some families, there might be some problems between the parents and each of them want their child to be with them. To gain the support of their child they will buy them anything they want but they are not understanding the fact that this will eventually spoil the future of their child.
Teach Your Child To Save Money
The very first step to teach your child in saving money is a piggy bank. Buy a piggy bank for your child and teach them to deposit the money they get on their birthday or on any other auspicious day. Once in a year open the piggy bank and with that money buy anything that your child wants.
Advertisements
Most of the children want to buy anything they see in advertisements. Teach your child to distinguish an advertisement on the basis of price, quality, and if it is a necessity or not. Tell your child that the motto of a consumer is to buy a quality product at the lowest price.
Teaching Kindness
Teach your child that saving money does not mean that you should not give it to anybody. Teach them kindness and how to share your money with others. Teach them to be a good human being.