From guarding a piggy bank to cherishing every bit of gift or snack money, a kid quickly comes to understand that money is precious. As he grows older, parents must teach him that it is just as important to manage this precious resource well. But a teen doesn’t learn if you lecture him. Try giving him a money discourse - either he’ll turn a deaf ear, or his rebellious streak will kick in. But if you let him take some independent money decisions, he’ll learn better.

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Training a teen to make wise financial decisions early on is a critical task because ill-managed money is like an untamed animal when it takes the form of student loans, car or home loans or pay cuts. With some early lessons in money management, your child will be better prepared to tame the beast.

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Just like everything else in the parenting world, there is no manual of instructions on how to raise financially literate kids. Here are some lessons from parents who have traveled down this road:

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Lesson #1: Good money habits begin at home.

It's no secret that most parents find it difficult to discuss money with their kids. Money skills must be taught at home because financial literacy is not a common subject in the school curriculum. To do this, seasoned parents advise utilizing real-world examples to discuss money, from defining wants from necessities to discussing ideas like saving and investing.

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Lesson #2: Financial education reduces financial worry

You're not alone if managing your personal finances feels like a nightmare! Even the strongest among us experience it, but as a parent, you don't want it to affect your children. Here’s the positive news - by educating teenagers on how to securely handle their money at a young age, you may help prevent money phobias in adulthood. Introducing your teen to Xare will go a long way in encouraging independent decision-making and developing good money habits. If you reward him with a Xare card for doing chores, sooner or later he will recognize the direct connection between effort and gratification.  

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Lesson #3: Dive in together into the world of investing

Investing is a completely other game even if you feel comfortable about teaching financial fundamentals like earning and saving. To teach your inquisitive adolescents about investment, you don't need to be an expert on Wall Street. Give them the means to accomplish it, and you can both learn. There's no shame in it if they outsmart you in terms of financial literacy, either. Simply said, it signifies a job well done.

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Lesson #4: Share what you know now that you wish you knew back then

Every parent wishes they had learned one or two financial lessons when they were younger. Although we are powerless to undo the past, we can position the coming generation for success. Discuss your prior experiences and how they might be avoided, whether you spent everything you made from your first job or completely missed the budgeting message. Don’t you wish that you had an app like Xare when you were a teen, so you too could have picked up some early lessons in financial literacy?

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Lesson #5:Talk the talk and walk the walk

Finally, set a good example. Children and teenagers will imitate your behavior. Bethe change you want to see in your house by acting positively, as experienced parents will tell you. Give your teenagers a taste of responsible spending with Xare. Because they will be aware that you hold the power, teens will learn to stay out of problematic situations (like spending too much money on the newest technology).

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We’ve got your back

Money is difficult, whether you're 15 or 45. If you're still developing your own relationship with money as a parent, it could be scary to bring up the issue with your children. Xare is one app that parents can use to manage their money and teen scan use to gain financial freedom.  As a parent, you can set aside an amount and set up a schedule for giving your teen an allowance on Xare. You can set spending limits, give your approval on your teen’s shopping transactions, and watch over his money activities. So, your teen gets the liberty to shop while you keep a close rein on his spending habits. It doesn’t get better than this!

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Learn how to use the Xare app.

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Download the Xare App for Android or iOS

Connect with Xare on  LinkedIn, Twitter, Facebook, and Instagram 

Or visit https://www.xare.co/

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