In a world of credit cards, online banking, tax codes, investments and retirement plans, keeping up with money can be tough for adults, and even more so for kids of this generation.
So, for the many parents who want to teach their kid economic ideas and prepare them for their financial futures, where the heck is the starting point?
We asked financial experts to break down the best ways to actually teach kids the value of money.
Make sure money isn’t “invisible” to your kids.
Chris Whitlow, CEO of financial wellness benefits provider Edukate, described money as “an emotional issue” and “very much a contact sport.” “It’s like if you were to read academically about football and then go out and try to play football,” Whitlow told HuffPost. “The act of reading about and playing it are two different things.”
That’s why it’s important for families to speak openly about finances when possible like their budget, for example, to encourage questions from their kids and to set them up to be better prepared in their financial future. This means taking a minute after swiping your debit or credit card to explain that the little thing in your wallet is not the source of limitless money.
Whitlow also noted that money conversations with kids are opportune times to discuss the difference between “what you need to have to function in life and what you want to have in life.”