Why is teaching kids to budget important? How can parents do this? And why should they? “CentsAble” Bobbi shares more of her interview with Neale Godfrey, Author of “Be Money Smart in Tough Times” who shares some great tips and strategies for teaching kids to budget and master their financial futures.
Teaching kids to budget leads them to financial independence, because it serves as a money management dress rehearsal. Imagine if kids understood the how and why of managing their money before going out on their own, getting into debt, and trapped in the vicious paycheck to paycheck cycle. They learn, early on, the benefits of budgeting, like not being reliant on a weekly paycheck, but rather on monies saved to categories that are meaningful in their lives, and the freedom it provides by cash being available when they need it, instead of waiting for it to roll in.
Using easy-to-learn techniques like the 4-jar budgeting system empowers kids to make great financial decisions, is simple, and works as an instructional tool by leading them towards better negotiating skills, since they work with parents to determine savings categories and how money will be spent.
And, if you’re learning right along with them, even better! You not having all the answers lets them know that it’s ok not to have all the answers. Together, you’ll learn and grow with the confidence that this is a work in progress, and you can reach your goals, even if you make mistakes along the way!
Teaching kids to budget is a gift that lasts a lifetime. What more could a parent want?
Links and Resources
- “Be Money Smart in Tough Times” by Neale Godfrey
- Sammy Rabbit – financial literacy songs, stories & activities for kids
- Subscribe to the CentsAble Chat Rumble Channel
- Join the CentsAble Chat Budgeting Group on MeWe
- Connect with CentsAble Bobbi on LinkedIn
- Connect with CentsAble Bobbi on USA.Life
- Connect with CentsAble Bobbi on Gab