Because 18-year-olds do not always have the maturity to manage their money efficiently. Financial education, starting at a young age, will enable them to acquire the right habits in managing their budget and building up savings!
"}},{"componentType":"sectionTitle","title":"5 tips to teach your teen about money management"},{"componentType":"paragraph","title":"1. Set an example","richBody":{"value":"As a general rule, a child learns by mimicry. Your attitude towards money is therefore paramount in your child’s financial education. The way you manage your budget will influence them. So show your child how you manage your money and practice the same behaviour you want them to have.
For example, you can show them how you save up for the family holiday.
"}},{"componentType":"paragraph","title":"2. Talk about money","richBody":{"value":"Make money a subject you can talk about with your family and set all the taboos to one side. Explain the financial concepts little by little, starting by making your young child aware of the value of money and then going into greater detail as they grow older. This frank communication will demystify the subject and give your child a solid foundation.
For example, you can explain the family budget, the difference between renting and buying, the importance of saving, how a loan works, etc.
"}},{"componentType":"paragraph","title":"3. Shop together","richBody":{"value":"Taking your child to the (super)market is instructive. This shows them the daily cost of living but also the influence marketing has on the impulse to buy. It is also an opportunity to learn how to analyse prices, special offers, etc.
For example, you can ask a young child to find the cheapest washing powder and a teenager to choose the washing powder that is the best value for money.
"}},{"componentType":"paragraph","title":"4. Pocket money","richBody":{"value":"If your budget permits, giving your child pocket money, even a small sum, is an excellent idea.
4 principles to follow for smart pocket money:
For example, you can give them a sum every month for outings and extras and then see how things go after three months. In this case, a current account for your child may be the best solution because you keep a management right over the account and can therefore see the transactions carried out.
"}},{"componentType":"paragraph","title":"5. Teach your children about online security","richBody":{"value":"Even if your child has grown up with digital technology, caution remains the watchword. As soon as they have a bank card, online transactions will become part of their habits, such as creating a QR code to share the bill with friends or topping up their phone credit online. It is therefore essential to ensure maximum security, bearing in mind that your children’s accounts are designed for your peace of mind.
For example, you can explain to your teenager how to check that an online shopping site is safe and, most importantly, how to detect scams and phishing attempts.
"}},{"componentType":"sectionTitle","title":"Additional financial education resources"},{"componentType":"paragraph","title":"A wealth of information that speaks directly to teens","richBody":{"value":"There are many websites that offer practical articles and advice for young people’s daily lives. Take this Belgian content platform for example, which warns of the risk of easy money touted by influencers. This site also gives ideas on how to save, invest or get a first foot up on the property ladder.
Watching some of this content with your offspring is a great opportunity to start the conversation!
"}},{"componentType":"paragraph","title":"A game on money to be played with your family","richBody":{"value":"he game The Money Talk, created by Think Forward at ING’s initiative, tackles the important themes of financial education from a fun angle. Each challenge is linked to a very concrete theme in everyday life: earning money, differentiating between needs and desires, saving, spending in a reasonable way and understanding the concept of borrowing.
Perfect for moving from theory to practice!
"}},{"componentType":"paragraph","title":"Movies to watch as a family","richBody":{"value":"We have put together 5 films about money and finance to be watched with your family. Fiction is great for learning with perspective and humour. These films, some of them great classics, also offer a way to discover what the world of finance was like before bitcoin!
A really novel way of dealing with money!
Financial education therefore requires theoretical knowledge and practice. There are many opportunities on a daily basis to talk about money with your child and prepare for their financial independence. Get started now and put those taboos to one side!
"}}]}}}