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Why Teaching Financial Literacy To Children Is Essential?

Posted by moritejanson on September 6th, 2017


With growing mortgage crisis, foreclosures, and ever increasing loan debts Jace Sternberger Jersey , it has become extremely important for everyone to understand and appreciate money. To live a financially fit life, one is required to take money lessons from their parents, teachers, or other significant experts as early as possible.

But when is the right time?

Well, start from the start. And you’ll see the difference!

According to Kobliner, children as young as three years old can grasp financial concepts like saving and spending. In addition Elgton Jenkins Jersey , teaching a kid is easy as compared to adults. As per a report by researchers at University of Cambridge, money habits of children are formed at the age of 7. Hence, its essential for you to teach your kids financial concepts like saving and spending.

What is Financial literacy?

Financial literacy can be defined as an inherent ability to employ knowledge and precise skills to make well-informed money management decisions in life.

Why it is important?

When you let your kids know the value of money and how to handle it smartly, you apparently help them to discover a pyramidal relationship between earning, spending and saving. Also, it saves your kid from getting affected by information from peers which can be misleading at times. For example Darnell Savage Jr. Jersey , he or she might learn from someone that money is a commodity of lucky people. Such fallacious remarks can impact their brain at an early age and drive him or her in the wrong direction.

Would you like it? Certainly not!

On that account, it becomes vital for you to spend some time with the kids and make them aware so that the children can take full control over their financial lives.

Best financial education programs for kids

Personal financial literacy incorporates quite a few concerns including, balancing a checkbook,saving and long term planning. It is seen that reading,writing and games have been an integral part of education system in USA.However, financial literacy is completely abandoned.

Though schools these days are trying to amalgamate financial literacy to their curriculum Rashan Gary Jersey , still there is a long way to go. But several organizations have come up with some of Best financial education programs for kids, helping them develop a strong foundation for life-long financial competence. They learn to manage finances and save with the help of interactive games.They get practice positive money habits in an interactive atmosphere, filled with fun and adventure.