It was a pleasant Sunday morning and I along with my tween was ordering gifts online for his cousins. Looking at all those fancy toys he asked
"Mumma, Can I buy this for me".
"No, we are here to buy it for your cousin and not for you," I said.
"Why can't you buy it for me?" he argued.
"Well, because we decided that we will plan and buy wisely," I whispered.
His tiny little eyes were filled with tears and from the other side of the couch, his grandfather was watching all this.
"Buy from Nanu's side", he declared, and boom the conversation turned into the parenting speech. I was upset not because I cannot buy for my child but money lessons at this age set the tone for the rest of their life. And so after this incident, I decided to give him some money lessons.
Financial literacy is so important in life still no school ever teaches this. I mean this is one of our major parenting goals to raise our kids, to make them well educated so that they are professionally successful and maintain a decent living. So should there be any age to give money lessons to kids? Well, I believe as early as we can and we, parents are the ones who will decide the financial behavior of our kids. Here are a few Money lessons that I try to incorporate in Ashman's life.
To teach him the value of money and to develop a feeling of empathy and social responsibility I started giving him monthly pocket money. Each time he received the money I asked him to divide equally into 3 jars. Money from spending jar for whatever he wants to buy, money from saving jar for buying for someone in need like stuff for maid's kids or for kids standing at a traffic signal and saving jar to save money for any of his big buys. In only a few month's time, he realized the value of money and his own priveledges. This is one of the biggest lessons we can give to our children.; Everytime he added money to the saving jar,we cheered for him and rejoiced how close he was getting close to his goal.
Experience of using Money
Money plays such an important role and still until kids don't grow up they never really experience spending it. To make him understand how money works I started involving him in financial decisions like giving him money to buy chocolates while shopping in a grocery store. Also I started discussing with him why I am buying a certain thing over another. This gave him the freedom to make choices and take decisions independently.
Understanding of Basic Financial Terms
As per their age, we can teach them basic financial terms like saving, deposit, withdraw and the concept how money grows; or how credit card and debit card works, in simple terms.
Even if we as a parent will leave enough for them its important for them to learn to manage it. As they say "Anyone can earn money but to grow it further; is not everyone's cup of tea". Also there is one fantastic movie by IDFC; " One Idiot" which portrays beautifully the importance of money. Do watch with your kids . Here is the link










Laxmi Mishra

Thanks for the info Mansi