They say it is never too early to begin building good habits, and when it comes to financial security, it seems they—whoever “they” might be—are certainly right. As Freedom Debt Relief reviews different people’s spending habits over time, they have come to realize that the sooner you are able to begin planning for the future, the less likely you will end up with an unmanageable amount of debt.
Help your children learn the true value of a dollar
Learning the value of a dollar is a lesson that can last a lifetime. Freedom Debt Relief reviews a lot of different financial portfolios, and one thing they have come to discover is that some people simply are unaware of what their debt and their assets are actually worth. Children who learn to think about the monetary value of things at an early age are less likely to go into debt and more likely to be able to save.
There are a number of different ways parents can help teach their children the value of a dollar. Once they are old enough, instead of just giving them an allowance or access to your credit card, it is a good idea to give them chores in which they can actually begin earning money. When $15 for the movies comes from mom and dad’s account, they will likely not think twice about the money they are spending; but if the $15 for the movies comes from having to rake the yard (or whatever chore you see fit), your child will immediately begin to build an important connection between work and wealth.
Engage your children in a long-term savings project
As Freedom Debt Relief reviews different savings strategies, they have come to notice the value of getting your children involved. If you are saving for your children’s college tuition—or for a car when they turn 16—getting them involved can help create a connection to the project that will encourage both responsibility and personal accountability.
Freedom Debt Relief reviews a lot of different studies over time, and many of these studies have suggested that children who are at least partially responsible for paying for their college education are more likely to follow through with earning a degree. Similarly, having a long-term goal such as paying for college tuition can help encourage healthy spending and saving habits from a very young age.
Encourage your children to be financially conscious
As a parent, the role that you can have on your children’s long-term financial habits is potentially enormous. Even from a young age, they will begin learning and modeling their behaviors from you, and financial behavior is no exception.
As Freedom Debt Relief reviews ideas of from psychologists and financial experts alike, they have realized there are many different ways you can teach your children to be financially conscious. You can engage them in the buying process while you are at the grocery store (asking questions like, which is the better deal?). You can encourage them to save for something by offering to match their savings. You can also just simply take time out of your day and talk to them about the importance of financial responsibility.
The early years in your child’s (or teenager’s) life are among the most formative they will ever experience. Good financial habits will not be formed automatically. But as a parent, the opportunity to have a lasting and positive influence is one that certainly exists.
Andrew Housser, founder of Freedom Financial Network, which includes the popular debt management company, Freedom Debt Relief, is a smart, savvy financial expert and businessman. Graduating from business school with honors, Housser has gone on to have an award-winning career and is a trusted financial mind.