Preparing children for adulthood can be challenging. The Federal Deposit Insurance Corporation (FDIC) offers suggestions to help parents, guardians, and even grandparents raise financially independent and responsible money-managers. For example,
- Play “show and tell” while you manage your own money. Showing how you make spending decisions by discussing an online shopping order with your children is one way to allow them to see and hear what you're doing to manage your money.
- Give an allowance. An allowance can be one of the best ways to teach your kids about money management. You can help children experiment with money and learn from their financial experiences.
- Help your child start a savings account. Consider opening a savings account for your children. You can give them an added incentive for sticking to their savings plan by personally adding to their account.
- Consider gifts that encourage saving. Examples include U.S. Savings Bonds, piggy banks, and books that reinforce financial responsibility.
- Encourage older children to get work experience. During these unique times, the seasonal and part-time job market has changed. Use the internet to search for online or socially distanced money-making opportunities for young people. Gaining job experience helps teach responsibility, fosters good business skills, and encourages time management.
Resources to Boost Your Children’s Financial Literacy Skills
You don’t need to be a money expert to teach your child basic financial literacy skills. Here are some places where you can find additional tools and lesson plans to help build your family’s financial literacy skills:
- Money as You Grow, developed by the Consumer Financial Protection Bureau, includes tools, tips, and activities for children of all ages designed to boost money skills and instill good financial habits.
- Money Smart Program, from the FDIC, provides lesson plans for teaching money skills to children from pre-school through high school.
Your Employee Assistance Program (EAP) is here to help
Your Component EAP can provide you and your family members with financial and legal consultation services, and can refer you to a screened financial counselor who, in a no-cost initial financial consultation, can provide you help in making sound financial decisions. For more information contact the DHS Worklife Team at email@example.com.