Money Management 101 For Kids

The steps to putting your kids in charge of their financial future! One of the goals as a parent is to prepare your kids for the future. We know to teach them about everything from manners to hygiene to making friends, but have you educated them on money management?

As an adult we know that managing money involves knowing how to save, spend, invest, share and borrow wisely. So how can we translate these important lessons for our kids without repeateding the old adage "Money doesn't grow on trees"? Money management educator Karyn Hodgens stopped by the studio to explain.

• Getting Money In Their Hands
- Allowances, part time jobs
- Allow them to make decisions about their money

• Tracking Their Spending
- Points out the patterns in their spending/saving
- Helps teach kids how to budget

• Budgeting
- Teach them the difference between fixed and variable expenses
- Introduce them to the family budget in order to learn by example

• Setting Financial Goals
- Helps them to learn delayed gratification and living within their means
- Give them incentives to put money aside
- Match dollar for dollar
- Give them interest on their savings

For more on how to teach your kids about money management and budgeting, visit www.kidnexions.com.

Karyn Hodgens, money management educator