ABCs of saving and spending wisely
Tips to help kids avoid debt
- Duration 3:47
- Date Apr 29, 2012
Tips to help kids avoid debt
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Listen up my next guest says most of you are forgetting to teach your children.
One of the most important lessons in life.
How to handle money maybe just don't know what exactly you're supposed to it's like this is a really important segment joining us now is the CEO of money savvy generation Susan beach and hear Susan great to have you this morning great to -- -- this is a subject to my wife and have a discussion about because it's really.
It's it's complicated it's hard so thank you for joining us this morning the first tip that you talk about here is teaching your kids what to spend save and donate.
Open some of these things up on the screen and take us through these the differences between needs vs -- making a list and prioritizing and setting a goal now.
Explain that to me as a child for.
Well I can explain to you even as an adult because we all need to know the difference between needs and wants -- need is.
Clothing for a very young child a one is candy move that up to the high school years I need is to wish Chen.
I want is probably that first car so kids need to understand that there's some things that they need.
To live by and there are some things they just want to add some extra -- Furl.
And then make sure every time -- go to the -- a child has something very simple piece of Paper and a pencil and as they point to everything that they want.
Say okay let's put it on the list it gives them the opportunity to feel like they've been heard.
Write it down and then they reflect in -- children learn how to reflect.
Then they will learn eventually had to delay gratification.
You also say.
Use hands on tools levered -- real world experience whenever possible.
85% of kids when they're interviewed between ages eight to twelve say talk to me in technology so let's not fight it.
So let's use an iPad you have an -- actually -- and it's called -- spree and I'd I'd downloaded this year on my iPad.
And it's pretty simple take a look at this.
It sound play games you can practice parents and educators right here on the iPad and it's pretty simple -- -- it's also an iPhone -- to see you can carry around with you while you're at the store explain this for us.
-- you need to do is take your phone have the proper iPhone applications on there and handed over to your child.
In your child will take it from there they love that kind of sat there at first they -- are -- -- and then eventually.
Expect -- poke and and touch.
And so why not learn at the same time this -- the way we're teaching our kids how to read and had to do math so why not about money okay.
There's a right time -- -- right way to introduce allowance.
You say start real allowance when kids start to learn about money at school.
He's a written contract to want to start you can't stop right so.
Very first lesson about money is the four choices you have for money we invented a piggy bank which is called the money -- pick which has for Tommy's.
This is truly the piggy bank for the 21 century and he picks the football -- -- -- -- of course I did.
So that's -- got four different slots on the on the front of -- here.
And four different Tommy's one for each slot one for every choice you have for money -- spend donate in -- brilliant.
Kids don't deal while -- abstract concepts every time they have a dollar and they approach that bank the bank is going to ask them what what do you want to do.
With the money you wanna save it spend it donated or invest it once you've got to stand down.
Once you got that very visual cue down and they do it over and over and over again then move into allowance -- allowance is the gateway.
To budget I've -- -- east.
Right I know you're still do actually.
OK well we appreciate you joining us today and what is your website.
Money savvy generation where you can find the money said he pig and all the saving spree in all the other tools we talked about.
And download the gap on the Iowa in the App Store savings spree is the name of the app Susan BM -- to see this morning great -- is -- thank you.