RICHMOND, Va. (WWBT) - The holidays are almost upon us! You’re probably budgeting and figuring out what you want and need to buy. From decorations to gifts and even giving to charity. It’s also the perfect time to loop your kids into those financial decisions.
The holidays are actually one of the best times to teach your children some basic personal finance. We are all going over our budgets this time of year, and your kids are paying attention. They watch you take out cash or a credit card at a store.
Start explaining to them how you are paying for something.
Cherry Dale a financial coach with the Virginia Credit Union says October, November and December are great months to include children in your budgeting process so they understand how it all works.
If you decide to adopt an angel for the salvation army angel tree, let them help! That way they see how giving to others is an important virtue and life skill.
If you are budgeting for gifts to buy for extended family members, Dale says show them your process!
Also, talk about your total budget and how you divide up funds.
“Not only are you creating a plan,” Dale said. “But you’re also having your child create a plan of who they would like to give gifts to as well, and so then they kind of realized this idea of gift-giving not only comes to them but then they are giving them away as well.”
Teaching them how to stay on a budget and not overspend at an early age can help them for a lifetime.
The season is full of teachable moments! The holidays are often full of excess! So why not help them learn early about good and bad spending habits?
Plus, you could even help them come up with ideas for gifts that don’t cost any money.
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