Start Money Management Early!
As adults, we know ... (well at least some of us are learning) that money management is extremely important! Depending on how you were raised, you may or may not have learned the importance of money. Why giving back, and saving are just as important as spending what you earn. We have all heard the term "The rich keep getting richer", and we believe this has a big part of what you were taught as a child.
If money management is something you are struggling with or something you are interested in instilling in your children, check out the book "Rich Dad Poor Dad" by Robert T. Kiyosaki. Another AMAZING book on teaching you how to get out of debt and live debt free is "Financial Peace" by Dave Ramsey. We are big Dave Ramsey fans. His books have helped Mom Together Founder, Ashlee Nino and her husband clear $15,000 of debt in a year!
On a fun note... here is a super simple project you can do with your kids. If you keep this up, we guarantee they will remember this type of money management and their older self will thank you! Help your kids create their own "Bank." We took three blank envelopes and labeled them "Spend, Save and Give." Have your kids decorate them in any way they want.
Now comes the fun part ... Allowance! Teaching your kids that they have to work to earn money is so important. You can have them help out with basic age appropriate chores. Make sure to be clear with how much they will be getting paid for completing these "jobs." Once they have earned their money, explain to them how your bank works. We have to save some, (bills, savings, etc.), Give some (whether you tithe at your church or choose to give to charity) and then you are able to spend what's left! With Marlo we decided to split his earnings evenly.
At the end of every month Marlo is allowed to give what is in his "Give" envelope and spend what is in his "Spend" envelope. We have decided as a family that we will save his "Save" envelope for a big day like his Birthday or Christmas. This month Marlo has decided to use his "Give" money to buy toys for kids that don't have any. We could not be any prouder of this little nugget!
We hope you have success with this project. Please tag us in photos of your kids and their money management adventures.