10 Ways To Create a Financially Savvy Kid aka Money Ninja!
As soon as our boys were old enough around the age of 3, we began teaching them how to save with a piggy bank and the value of money. As they grew older, we intentionally did things to empower our children to become financially literate. Today, I’ll share those with you:
- Add your child as an authorized user on your credit card so they can understand how interest, paying off balances, credit score, and autopay works. Bonus ** by adding your child as an authorized user, they can start building their credit score.
- Actively nurture compassion by donating time, money and/or resources as a family to people and causes you care about.
- Open an investing custodial account for them so they can become familiar with stock investing verbiage and how stocks and trading works.
- Give them independence when it comes to money to allow them to fail and learn from their mistakes.
- Include them in your entrepreneurial journey by celebrating your wins and accepting your failures with them openly and honestly.
- Bring them with you to business meetings with your attorneys, CPAs, customers, and colleagues so they can understand the dynamics of negotiations and social interactions.
- Speak about money transparently. There seems to be a taboo when it comes to talking money. Let’s break that trend and increase our children’s money savviness.
- Teach them about saving money to invest by empowering them with financial literacy books starting at a young age.
- Expose them to different socioeconomic environments.
- Take them to work with you so they understand the value of hard work and how that ties into money, or better yet, have them apply for a job.