Happy new week! How did your weekend go? We started this last week. If you are yet to read the first part, you can read it up here.

5. Saving Is worth it
What do you do when your son wants a new toy car that he doesn’t have enough money for? Tell him to save up! Once he has enough, take him to the mall for shopping and let him pay the cashier himself. He’ll never forget how good it feels to work toward a goal and be rewarded in the end.

6. Keep Track
Simply knowing where her money is going is a big step forward in your child’s money management skills. Let her use a notebook or go on a computer to keep track of her money. Make a file or get an envelope where she can store receipts and statements of all transactions. Let her begin managing her personal financial statement now. Request to review periodically so she can be accountable too. This will go a long way to prevent a lot of financial heartaches in the future.

7. Have a Wish List
It’s difficult for kids to set priorities. Sit down together with them and help to make a wish list of the things your child wants to do with money. Help him or her to rank the list by discussing what’s important about each wish. It is good for the child to learn to dream and also set things in order of importance. The ability to delay gratification is better learnt as a child than as an adult. Help them know that life is all about prioritising at every point in time so that the desired end can be achieved.

8. Make the Most of Savings
Introduce your child to saving mediums that could earn her interest. It could be fixed deposits, savings accounts, treasury bills, certificates of deposit or mutual funds. Search for a compound interest calculator and show your child how N200 can grow with interest over time. Explain the 8th wonder of the world. Your child will be amazed and will look forward to saving more and more.

9. Be a Little Doubting
While you don’t want your children to think companies are out to get them, every now and then, ensure you point out sales tricks. Healthy skepticism is very important not only so kids can resist the temptation of buying every product advertised on TV, but also because it helps keep them from buying into the messages behind the adverts. Some adverts make it look like it is only when you drive a particular brand of car or take a particular drink that you are successful. Let them know that being successful is not about what they can get but who they become.

10. Share
Have your kids donate a portion of their allowance to charity. It teaches them that money can be used to help people, rather than just for buying things. Remind them that it’s not how much you give but the motive behind it. Every little bit counts. This period is a very good time to encourage them to practice that.

What other thing can one do now to set them on the right track? I will appreciate your feedback.

Do have an amazing week!

– Gbonjubola Sanni