Without a doubt, education is the best legacy parents can leave their children. This doesn’t only mean sending them to the best schools but also teaching them the necessary life skills to survive.
Here are some learning tips that both parents and children can do together.
Thinking abundantly. Instead of saying you can’t afford something your child wants, sit together and discuss ways to earn the money needed to make the purchase. This creates a mindset of abundance—instead of being defeated by scarcity, show how hard work and smarts can get us what we want. Money is always there; we just have to figure out a way to earn it.
Business and investment. It’s so easy nowadays for young people, even children, to start a business. Many people are now selling food, products, and services online. Take the time to Google ideas for a business that your child can put up. As for investing, there are online resources that can help you teach the basics to your child.
Spend on needs before wants. When it comes to their allowance, spending on food, school supplies, and school requirements should take priority over toys, accessories, and other non-essential wants. This basic principle is the foundation for teaching your kids how to create a proper budget.
Savings for your child’s future. Explain to your kids the basic reasons for saving regularly and consistently: we save in order to anticipate emergency situations and we save to prepare for a future, essential expense. Give examples that your child can relate to.
Teaching your child the habit of saving money is so much easier when you work with your bank. BDO, for example, has a Junior Savers Account specially designed for kids. With an affordable initial deposit and a low maintaining balance, the Junior Savers Account is easy to open and maintain at any BDO branch.
Once your kids already have a BDO Junior Savers account, help them grow their funds by scheduling regular deposits using your BDO Digital Banking account. Setting the amount and date of transfer can easily build their savings as well as teach them more money lessons.
Learning to save money is the basic step for anyone, even a child, to learn proper money management and, eventually, start building wealth. By taking these first steps with your child, you’ve already given them true riches.
