Kids are impulsive by nature. Often, they’ll want to buy the first thing they see. It never occurs to them that the brand new pair of sneakers they're in love with in one store are 20% off in the store down the street. Talk to your kids about trying to find the best deal for their money. However, if your child still has their heart set on buying an item you know is no bargain, bite your tongue and let them do it anyway. Part of the learning process includes learning from our mistakes. As hard as it is to watch your kids make a bad move, it’s often the only way they get to learn that there are consequences to their actions. The important thing to remember is to not bail them out with more money when they have made the wrong decision. Your child may soon regret buying those pricey sneakers when he realizes he has no money left to go to the movies with his friends.
Teach generosity
It’s important for children to realize that not everyone is financially comfortable. It’s always a great idea to involve your children in such charitable activities as clothing drives, collecting canned foods, or a Toys for Tots program. You may also want to encourage your child to donate a small portion of his or her allowance to the charity of their choice. Bringing about an awareness for your child that not everyone is as fortunate as they are will help them appreciate the money and other material things they possess.