Coaching Kids To Stretch A Buck Makes A Memorable Lesson

Make smart shopping a family affair! Studies indicate that parents who encourage their children to participate in the shopping process provide their children with an opportunity to gain valuable experience in how money works and are more likely to develop strong money management skills.

Here are some ideas to involve your kids as you develop – and stick to – a family budget!

1. Coach your kids on the concept of budgeting. Explain that spending too much now means there may not be enough later for something else they want.
2. Set a budget that encourages them to plan. Provide each child a set amount for needs and help them stick to that budget.
3. Help them inventory what they already have before going on a shopping trip.
4. Ask them to make a list of what they really need vs. want.
5. Hold a yard sale of outgrown or unneeded items to raise money for their next shopping trip. While you’ll probably want to oversee the sale, encourage your kids to get involved in the pricing, set-up, and selling. They’ll value the profits more, having worked for them.
6. Find fun ways to avoid paying full retail price. Start with charity and consignment shops. If you do need to buy new, peruse sale flyers and search for online coupons first. Above all, stick to your shopping list.
7. Consider sharing with the less fortunate. Thinking about those truly in need helps put shopping “must haves” into perspective.

Click here for other tools and resouces to help kids start out on the best financial foot!