How to teach a child to handle money, how much to give

“He is constantly begging money from us!”, “He spends pocket money on stupid things!”, “He doesn’t understand that we can’t afford it?!”… Many parents complain about the inability of the child to handle money. How to teach him to dispose of his own and family finances, to assess the usefulness of shopping, to save? The website “” gives tips on how to teach a child to handle money!

How to teach a child to correctly estimate the family budget?

Begin to teach your child to handle money you need from a very young age.

In 3-4 years you need to show him the money and explain why we need these little circles and paper. He clearly saw, how it works, give him a banknote or a coin may pay the conductor for a ticket in the tram, to the seller for the ice cream…

Yet it does not correlate specific denomination banknotes with the value received in the hands of the goods!

With mastering the basics of arithmetic accustom your baby to the basic financial operations (e.g., calculate how much money you need to buy bread and yogurt). By the way, many children are much faster master account, addition and subtraction that is the example of cash payments, rather than boring school lessons!

Be sure to take the baby to the shops – just make sure he knows how many there are basic goods that is more expensive that it is cheaper…

If the kid will start to beg, tell him you will buy it, if we have money after paying pre-planned purchases. Don’t kid child – if delivery really enough, make this purchase. If not, the baby will realize that mom’s words: “don’t buy – no money!” is absolutely true, and is not some sort of unusual punishment, and no vagaries of the money in the wallet to materialize will not work!

C 12-13 years to teach the child to handle the family money, get him to shop independently.

Give him that once a week the same amount that you need every day to buy bread for the whole family. Then he will learn himself to plan the budget so that money is not ended prematurely, that the quality was satisfactory relative to the price, etc.

Teenager it is possible to send to go to the market, while asking to look in the fridge and to assess what they need to buy. Of course, he will not buy what is not there and not at the price – but otherwise teach your child to handle money is impossible!

At what age and how much pocket money to give?

This is the most common parent question relating to the education of the child handling money.

That cash in the hands of the child it is necessary to give, a doubt can not be – “in theory” to learn how to handle money the child can not!

What age to give him the money? With 5-6 years.

Usually at this age children get their first ideas about numbers and arithmetic. To give your baby need a minimum amount, and with the understanding that he will spend it immediately. Tell the child to “basic alignment” — what can you buy with the money that costs a little more, something smaller, why are the prices for different products are different…

In the concept of “economy” and “budget” don’t go to require a young child hoarding is not necessary, and the issuance of money can be “one-time actions”.

In 6-7 years the child goes to school. And from that moment you go to “regular payments”!

First, give the child pocket money for the day they he will buy school Breakfast. When you realize that he settled with this amount, increase the time – for example, give him the money for 2-4 days ahead. Then for a week. Sometimes (not every day!) give the same amount to have the baby remained small surrender after visiting the dining room, or just add the”extra” money, while explaining to the child that this money is his own, he may dispose of them himself!

At this age children are quite capable of not splurge on the first piece, and to wait, to think over the prospect of the most interesting purchases and to accumulate the n-th sum (usually a period of hoarding does not exceed a couple of weeks).

By 10-11 years , the student may receive pocket money for a month, and clearly separate personal budget from money to eat, travel etc!

He should be able to save and accumulate (at least a couple of months – for sure!). The main thing – do not give in to pleas to give him extraordinary “payment” (except that I agree on the “advance”): child, learning to handle money, should understand nebesnoi “money pit”!

Whether to give the child large amounts?

Teach your child to handle money and to save them for more expensive purchases, of course, necessary. And whether to give the child (at least occasionally) more or less large amount for this “one check”?

Of course, plays the role of age. The younger the child, the less money he can give. But from time to time (at least every six months, for example, in the form of a gift to the end of the school year, Birthday or other date) is to give him a relatively substantial amount.

For a child 5-7 years “a large sum” can be considered the equivalent of more than one ice cream, and, for example, a small soft toy.

In 7-10 years you can give the child an amount sufficient to buy a big doll, a soccer ball, etc. (or what your baby considers his “lifelong dream”?).

The teenager is already possible to entrust the money to a new phone or fashion sneakers…

Of course, much depends on the financial capacity of the family, but in order to calculate the recommended amount, fit the formula: “a large amount” = pocket money issued to the child for six months. Not those pocket money issued and spent on school meals, and those in which the child is free to dispose of himself!

That is, if you give the child 100 rubles a month – a significant amount for it will be 600 rubles (it is not necessary to save for six months, you can go and just buy something meaningful!).

To give much more than this proportion. But the child, especially small, will not identify “space” with the amount of his regular “income”.

After all, even we adults with their stable salaries, certainly bacteraemia if you need to give a clear answer to the question “What would you do with a million?”. “Well… uh… buy a house… a car… Where? But somewhere in a good place… What kind of car? Well that car, and later… Invest in a business? I don’t understand it…”. But we usually have a clear idea what are the benefits of obtaining the sum equal to six monthly salaries is to put plastic Windows throughout the apartment, to go to the sea, and a new refrigerator would be nice! Right? How, then, to learn to work with “huge” money baby?!

Why teach the child to handle big money? Isn’t it better to give what he wants than to risk it – suddenly the child will squander the money on candy/chips/chewing gum?

Perhaps, squandered! But it must be done, otherwise the child will begin to form “psychology of the poor man” (on what prevented the wealth and success website already told).

The child should be able to save, but it should not be a constant feeling that for major purchases should be squeezed – better to let them think about this amount to (for example, you can assign a “reward” at the end of the year without triples!).

Besides, it develops the ability to build real plans to use big money – spending it a single time on the small stuff, the child will surely understand the inefficiency of such actions, and next time will consider your purchase!

And anyway, fear not that frequent transactions with money “spoil” the baby is in the civilized world without the ability to handle money the child can not do, and from books you cannot learn!

Author – Dasha Blinova, site

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