While money is not all there is to life, it is one of the cornerstones of society. You earn money through jobs, and use money to purchase your needs and wants. It is something that children must be taught about because knowing from a young age how areas of finance impacts an individual can shape their relationship with money in the future.
To keep your child from overspending and overextending credit as an adult, he or she should learn to be financially savvy as a teenager. Hence, financial literacy, which covers budgeting, learning to set aside money for savings and investment, and understanding key concepts of debit and credit.
This is especially important now that digital payments make that purchase oh so easy that there's less time for considering the impact or necessity of the buy. It is also easy to let money slip through your fingers when you're not holding on to cold hard cash that you can see disappearing from your wallet.
Tip 1: Set up a savings account