Money is a commodity the modern world cannot do without. As we try to convince ourselves that money is not all there is to life, it is still important to sustain our lives. While a healthy bank account is maintained through employment, the key to financial freedom begins when we are young. Kids who learn to save will learn to be free of financial woes in their future.

Teach the young minds not just of its material value but its sustainable value as well. Just like anything else that grows in life, the value of money increases when persevered, dies when neglected and recovers when one starts from the beginning. With endless resources available, money should not be a problem to the society but an encouragement to further develop ourselves.

The way a child understands about money can be cultivated through observing a visual activity and its transformations together with a guiding adult. There are simple activities that involve both adults and children in teaching them about growing money. Bear in mind that money should never be a substitute or reward for good behavior as this kind of reward system encourages warped morale. The following are 3-easy steps to giving kids the knowledge on money and its growth positively.

1. What is money?
Kids need to know how money is obtained, saved and used wisely. Get them involve in your grocery shopping and using coupons or discounts tags to show them the difference in savings. Create a budget, a shopping list and let them be apart of the whole regime of decision-making and comparing price differences. If you have patience, create scenarios of needs, wants and wishes, show them how to choose and spend wisely according to each of the different situations.

2. Savings
When kids are old enough to have their own bank accounts, introduce the options of bonds and bank deposits for money growth. Teach them how to save for the occasional item in their wish list. Allow them to withdraw the money to purchase once a target is reached provided that you supervise their expenditure. Keep the monthly receipts and show them how deposits, withdrawals, interests and taxes affect their accounts. Draw a chart to show their progress annually and get them to update it regularly. Whenever possible, remember to encourage their saving habits by monitoring their goals, rewarding them for their effort and giving positive advices to any queries they may have.

3. Earning
Any child will be excited to lend a helping hand around the house

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