Teachers are amazing. They introduce kids to so many subjects within a curriculum (math, science, history, languages) as well as intangible subjects that probably aren't listed on a curriculum anywhere such as cooperation, respect for others, and patience. However, classroom time is limited. As we prepare our kids to be successful adults, the responsibility for some subjects may fall more squarely on parents' shoulders. Financial education is a great example.

Before kids get to college, get into their first apartment, or apply for their first credit card, how can we set them up for financial success? Here are a few great tips!

Speak openly and honestly about finances, especially when money is tight
 

If you are experiencing any financial strain, explain to kids simply and honestly about your experience. The goal is not to worry them, but to introduce the idea that money is limited, and sometimes we need to make sacrifices to meet our financial goals.

If you have a budget, consider sharing it with them and encourage them to share their thoughts on how the family can spend less and save more.

Distinguish between 'needs' and 'wants'
 

A parent's job is to provide the 'needs'. But when it comes to a child's 'wants' list, we can encourage our kids to work toward earning those items. Whether their contribution is earned through allowance for chores, part-time work, honor roll achievements or the like, the contribution is theirs to make. With active participation, they will learn first-hand the importance of prioritizing what they want and how time, effort, and money are linked.

Be a financial role model
 

One of the most impactful ways you can accomplish this goal is by spending time with your kids rather than spending money on them. Set the example that people can have a great time without spending a lot of money. Also, use an everyday outing like a trip to the grocery store as an opportunity to discuss pricing and finding value, and the difference between cash and credit.

Teach them to be savers
 

Help kids manage their money by modeling their 'budget' after yours. A good rule of thumb is to designate 40% of earnings for spending, 40% on short-term savings (for a special toy like a bike), 10% on long-term savings (college), and 10% giving.

In the spirit of celebrating April as Youth Savings Month, bring your little ones to Pioneer and open a Super Star Youth Savings Account! You can show them how easy it is to save and earn a little extra at the same time, plus enter to win some cool prizes! Good luck to you as you guide your dependent kids into financially savvy, independent adults! 

Open a Super Star Youth Savings Account!