Stonegate Financial

How Do Children Learn To Manage Money?

   Financial Responsibility
It’s Never Too Early To Start

Children and money will always be linked together.  From birth to adolescence and from college graduation to having children of their own, children will always be linked to money and finances.

How do children learn to manage money?

Should they learn at school, from social media, their peers, by mismanaging at first, or should they learn from watching their parents?

The answer is a combination of all the above.  Children will learn many of their earning, saving and spending habits from a variety of sources.  How can you make a difference in preparing your children or grandchildren to comfortably face the multitude of financial challenges they will encounter as they grow up?

At first glance, money seems like a simple concept and one that would not require a lot of education. Children learn about money very early in life, usually by spending it, then hopefully by earning it!

Is it necessary to introduce smart and frugal financial habits at an early age? Absolutely!

If you take a look at all of the financial difficulties that we encounter as a society, it becomes obvious that there is a need for financial education. We all encounter many opportunities to educate our children and grandchildren about financial responsibility. Through financial education and teaching by setting a strong example, your children or grandchildren could have a leg-up in developing sound financial habits that will hopefully last a lifetime.

We all know the old saying, “Money can’t buy you happiness.”  Please keep in mind that one of the main purposes of having children and grandchildren is to reward you with a lifetime of happiness.

If you help them understand money, you can help eliminate potential stress, financial burdens and emotional strain that the misuse of money can bring.

Does this mean that you should enroll your 4-year old child or grandchild in a finance class at your local college? No! But it’s never too early to share helpful information when it comes to money. The goal is not to expect that your child will accumulate great financial riches, but rather to provide sound advice and values so that as adults they can avoid potential financial pitfalls and live comfortably and financially stress-free.

Here are several things that you can teach your children or grandchildren about money that can help them.

For a full version of this article  please request a copy of this article by emailing Kristy Cartee: or call us directly at 602-953-8450 and we will be more than happy to get a copy to you today!