Have you ever discussed with your kids about your financial activities? Do your kids believe you as a perfect role model for them in terms of finance? You are not sure about that, then about it. You as parents are meant everything for your kids as a guardian, constant companion, friend, protector and moreover, like a teacher. Kids have the habit of learning something, that they see you doing it. They watch you taking care of them, remember the feeding time, managing household as well as official work and taking good care of finances.
Children find their first role models in their parents. For you as parent can be a perfect financial role model for your kids, if you show them, how particular you are about fiscal matters related to spending, saving and earning. Majority of parents want to become a financial role model for their kids, but do not know the tactics and strategies of becoming one.
Earlier things to adopt necessary steps for becoming a financial role model, parents first need to ask themselves, do they plan for big purchases, do they spend impulsively, are they particular about paying bills or buy anything they desire for and things like that. Asking such questions will give you clear idea of how good you are with finance and repair the mistakes to become a financial ideal for your kids.
Follow the Steps
Be Honest with Children
Like earlier discussed, children see the parents doing everything, relating with the other and managing several matters at home. Similarly, they learn what they see you and follow the things in time ahead. If you tell a lie, they will also learn to speak a like. For an ideal financial role building a truthful relationship is a matter of crucial concern. For this, you need to always speak truth with kids and just be honest with them. Lying about finance with your kids will not go anything good to them. Parents can make themselves feel proud by sharing correct financial information with their kids.
Talk About the Budget
Budgeting is a way of getting clear picture of totally money you earn and the exact proportion and complete list of expenditures. One can become a financial rule mode to their kids, only after discussing their exact financial condition and adopt ways to control the overhead expenditures. You have in mind to stick to the budget and can talk to your kids about it to suggest ways.
Set Financial Goals
Financial goal setting is the most critical part for the parents to handle that requires additional advice from someone close to them. No one can be better than that your own kids to discuss how much you should earn, save and spend and make further goals to lead a debt free life.
Teach them Money Makes Money
To become a financial role model, you as a parent have responsibility to teach your kids about the practical phenomenon of how money makes more money. Teach them about investing, saving and benefits of savings account to get more amount that you deposited.