Prioritising money

Empowering children with skills in money management at an early age will enable them to make wise decisions with their future earnings.  One of the best ways your children can learn this is by you setting a good example.

Monthly budget

Work out the amount of money needed to run your home for a month. This includes rent or mortgage, heating expenses and electricity.  Discuss with your children ways to save on energy, for example by turning off lights.

Needs versus wants

Go through items in each room of the house and discuss with your children those that are essential and those that are luxury.  If they want a new toy, encourage them to evaluate the need for it before buying.  This is also a good opportunity to sort out items they no longer need to either pass on to charity or resell themselves.

Grocery shopping

Before going to the supermarket, make a list of everything that is needed and stick to it.  You may find it helpful to work out a week’s menu and this can be completed together as a family.  Involving the children in decision-making at an early age can develop into joint decision-making on many other costs the family need to consider at a later stage.

Budget for a day trip

Decide as a family on a day trip and calculate the cost involved.  Encourage each family member to make a small contribution.