Every parent wants their child to be financially responsible. This means that when they are older they will not squander their money on useless items and they will appreciate that they have to work for their money.
But children will not learn this kind of information on their own. it is something that they need to be taught.
One of the most important things about teaching a child to be financially responsible is to make them work for their money. It sounds harsh, but they are more likely to be a bit more careful with their money if they know they have to work hard to get any more. If they are just handed the money, then it will be a lot more easy for them to squander it.
Have them do jobs around the house so they can earn their money; things such as doing laundry or dusting are not too heavy duty. Helping you to do your jobs will not only earn them some money; it could be a great bonding experience for the two of you, as well.
Teach them to be proud of the fact that they have earned some money. Tell them how grown up they are and that this is what Mummy and Daddy do. It will give them a sense of pride and confidence.
If they do not want to do their jobs, then make it clear that they will not get their money. You may feel sorry for them at first, but you will be doing them a huge favour in the long run. Make it clear to them that if you or your partner did not go in to work and do your job, then you would not get any money. So why should it be different for them? They will be doing their jobs in no time.
Vary the jobs from week to week.They can do the dusting and sweeping one week, and maybe next week they could help clean the car or the bathroom.
Teach them the importance of saving. They do not have to save all of their money, but tell them what a great idea saving up is. Let them know that if there is something that they want to buy, then they will need to save so much of their money a week.
Don’t tell them what to buy; you can advise them. But it is their money and they worked hard for it. You might think that it is a waste, but if they spend all their money now on something useless and have no money for the rest of the week or month, then they will learn a very valuable lesson.
If they do spend all of their money in one go, then do not give them any more. You are teaching them to be responsible, and, if they know that you will bail them out every time they will not take it seriously.