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Teaching Your Teen To Be Money Smart

 

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When our children were teenagers, we learned that the key to successfully teaching them the biblical perspective of money making and God’s way of money management was to be MVP parents!

The M stands for Modeling, the V stands for Verbally communicating what the Bible says, and the P stands for Practical opportunities for the teens to actually apply what they are learning

Let’s look at money making. The Bible encourages us to work hard. Ecclesiastes 9:10 says, “Whatever your hands finds to do, do it with all your might.” And laziness is condemned: “He who is slack in his work is brother to him who steals” (Proverbs 18:9). So, how can parents teach their teens to work hard

  • Parents need to be models of hard work themselves because what we do is more impactful than what we say.
  • Assign kids daily household chores to teach faithfulness with routine responsibilities.
  • Provide them opportunities to earn extra money at home, and encourage children to work for others to learn what it means to be in an employee—employer relationship.
  • Requiring your teen work at least one summer in something requiring hard labor is very beneficial. I’ll never forget working one Florida summer in a lumber yard & cement block, and learning what it really meant to work hard.

When it comes to money management, it’s super important for teens to understand that God owns all they have, and they are to be faithful managers of whatever the Lord entrusts to them. They need to learn that Saving is good, Debt is bad, Giving is fun, and they shouldn’t get caught up in impulsively spending money on things they don’t need.

Also teach them how to use a spending plan, a budget. Mint.com is an online system that’s free and would get place for them to start.

To check out our Give, Save, Spend online study for teens click here- http://bit.ly/2il0vTV

To find a good spending plan/budget for your teen click here- http://bit.ly/1aJQxzP

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5 Ways to Raise MoneyWise Kids

 

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After sharing the Gospel, one of the most important things you can pass on to your children is how to handle money God’s way. The trouble is, a shocking percentage of parents fail to pass along strong money management skills to their kids.

Here are 5 money lessons your kids should know, and fortunately, it’s never too late to start teaching them.

  • Kids need to know that credit cards aren’t free money! Yes, a bill comes every month and if you don’t pay it in full, interest piles up fast. Teach by example and pay off your credit cards every month.
  • The biggest “secret” to managing money is to live on less than you make. Otherwise, you can’t save for emergencies or invest for the future. Teach your kids to save every time they receive income.
  • Giving. Jesus was right when He said, “It is more blessed to give and to receive” (Acts 20:35).  Young children naturally think they’re the center of the universe. Teaching them to generously help those less fortunate is an important life lesson.
  • Teach them to manage a bank account. It’s not rocket science. Help them set up an account and teach them how to record transactions, keep the register balanced, and reconcile the account.
  • Finally, paying back student loans isn’t fun. In the past, students could borrow their way through school, get a good job and pay back loans quickly. No more! Today jobs are harder to come by and student debts are a lot higher. Teach them to borrow as little as possible. This will help them choose a major or a minor that gives them marketable skills so they can land a job after graduation.

Remember what Proverbs 22:6 says, “Train a child in the way he should go, and when he is old he will not turn from it.” Teaching your kids to manage money God’s way is a gift that will last their whole lives and impact their children as well.

Warmly in Christ,

Howard Dayton