As kids rake in extra cash this summer from lawn-mowing jobs or lemonade stands, they'll ask themselves: Should I buy a new video game or save for a rainy day?
Here are some ways parents can get kids to fill up their piggy banks or spend wisely:
*Be a good role model. If children see their parents buying the latest gadgets, trendy clothes, and pricey meals, they'll probably follow suit. So be frugal and responsible: Show them you seek out sales, pay bills on time, and avoid credit-card debt.
*Save and share, too. Encourage children to save a percentage of their income or offer to match what they don't spend. Talk about donating money to the less fortunate.
*Buy the basics first. Unless they're told, children don't know how much housing, food, and clothes cost. Show them that "needs" should reign over "wants."
*Include kids on shopping trips. Kids will learn to make wise purchases by shopping with parents. Whether buying groceries or a car, children can learn how to research prices and products, negotiate a better deal, and comparison shop.
Source: Lutheran Brotherhood