With students heading back to school soon, Forbes has a piece on how to help your student understand the financial basics. Their tips:
Employment -- If your student worked during the summer, be sure some of the earnings are spent on school supplies and clothes. This will nail down the link between work, money and all that stuff at the store, a connection many kids--and more than a few adults--miss.
Make A List -- Think about what your student will need for school and make an itemized list. This is the first step in writing a budget.
Budget -- Draft a budget for each student. Check the ads and shop around for the best deal. Introduce your student to the need to make tradeoffs to stay within budget.
Needs vs. Wants -- Back-to-school shopping can be a good time to introduce kids to the difference between needs and wants. Students need notebooks and pens, but may want a stylish backpack. Consider having your child kick in the difference between a generic but serviceable backpack and the spiffy version "everyone" will have this year at school.
Shop On Price -- Back-to-school shopping is a great opportunity to introduce your child to comparative shopping. Check major office supply stores such as Staples and OfficeMax and compare prices with discount retailers such as Wal-Mart and Target. Be sure to consider major food retailers such as Kroger and Albertson's for the basics. A lot of the price checks can be done online or by pawing through the newspaper ads. This will also teach your child about quality.
Some good tips for you parents sending kids to school and wanting it to be a "teachable moment".
Comments