How do your children develop financial literacy skills?

As with most things in life children model their behaviour based on what examples are provided for them. That being the case, what example do most of us provide to assist with the development of the financial literacy of our own children?

How do you model sound financial habits to your children, if managing your own financial affairs is often a struggle?
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I believe the “cashless” nature of most contemporary financial transactions is one of the greatest challenges parents face in helping their children to develop an understanding of the real value of money, and where money comes from in the first place.

The “cashless” nature of contemporary financial transactions often leads to adults having their own struggle to manage the monthly household budget. I have witnessed countless examples of people who struggle to pay the outstanding balance in full on their own credit card/s each month.

If that is the case, how do you model good money management to your own children?

For example, modern technologies like tap and go payment systems are great for convenience, and reduce the need to carry sums of cash, but on the other hand reduce the opportunity for children to see and understand how much money needed to be earned to fund that transaction.

• How do children understand concepts like the number of hours a parent has worked to earn their weekly salary if they never see a pay packet?
• How do children conceptualise the need for a family budget, when something like paying for their school books is done online?
• Why would your children see the value in making a weekly shopping list when they see the groceries being purchased by waving a card at the checkout?  

At Empower Money Management I have over 30 years’ experience in the finance industry. I can use my vast experience to help you and your family understand the value of good money management and budgeting in simple, jargon free terms.

To make an obligation free appointment contact Leigh today on 0407 439 827, or leigh@empowermm.com.au

Also see www.empowermm.com.au