| If you are one of many who believe that children | | | | world. As they prepare for college or the workforce, |
| really do imitate what they see, then its important to | | | | it may be a good idea to explore the world of |
| start early in teaching your youngster to practice | | | | prepaid cell phones and credit cards. This will regulate |
| good spending habits. When he/she matures and | | | | his/her phone calls, which will prevent an excessive |
| enters college or the workforce, the habits that they | | | | phone bill and will also teach discipline in how phone |
| learned as a child will remain with them through | | | | time is used. A prepaid credit card will teach a young |
| adulthood. | | | | adult to spend only within their means and to stretch |
| Learn to Earn. | | | | their dollars as much as possible. |
| When they are young, its important that children | | | | The Debt Dilemma. |
| learn to earn their money through chores and other | | | | Teach your child the potential concerns dealing with |
| similar activities. Whether its a lemonade stand or | | | | credit cards, high interest rates and the importance |
| helping the neighbor to plant a garden, its a good idea | | | | of maintaining a good credit score by paying their bills |
| to teach children that money is something that is | | | | on time and not spending unnecessarily. Without the |
| earned and not given freely. If an individual learns the | | | | proper credit history, obtaining a future home or auto |
| value of a dollar early, he/she may be less likely to | | | | loan may be difficult or even impossible. |
| participate in frivolous spending later on. | | | | The Cash Stash. |
| Saving for Tomorrow. | | | | Teach your child to save a portion of his/her |
| When it comes to the latest doll or video game, | | | | allowance, earnings or other money with the help of |
| children often have a large wish list. With the | | | | a savings account. If your child can learn to tuck |
| exception of holidays, birthdays and other gift-giving | | | | away 20% of their incoming cash, this trend will likely |
| occasions, its important that a child learn to save his | | | | follow them throughout adulthood. A good rule of |
| her money for the things that are high on their list of | | | | thumb is to have enough savings to carry you |
| wants. You can either match their payment for an | | | | through six months, which could be needed as a |
| item, which means they come up with 50% of the | | | | result of an illness, relocation or job layoff. For these |
| purchase price and you match that with the other | | | | and other reasons, its a good idea to save money |
| 50%, or you can suggest layaway. Either way, your | | | | whenever possible. |
| child will learn that saving their money is a good way | | | | Its never too early to start instilling good spending |
| to get the things that are important to them. Later in | | | | and saving habits into your childs behavior. |
| life, this may help them to avoid debt by excessive | | | | Throughout his/her life, these tendencies will play a |
| spending on items that they may not be able to | | | | large role and you can take great pride in knowing |
| afford. | | | | that you prepared your child for a prosperous |
| The Perks of Prepaid. | | | | financial future. |
| Whether its a prepaid cell phone or credit card, its a | | | | The information contained in this article is designed to |
| good idea to teach your mature child how to prepare | | | | be used for reference purposes only. It should not |
| themselves for independence. Even with years of | | | | be used as, in place of or in conjunction with |
| learning the proper spending habits, a young adult is | | | | professional financial and/or parenting advice or |
| faced with many challenges upon entering the real | | | | recommendations. |