Teach kids good money habits early, says expert

Children should be taught good money habits, such as seeking out the best savings interest rates, according to a finance expert.

Kim Stephenson, occupational psychologist and founder of online resource Taming the Pound, explained that teaching kids early about how to handle money will have a huge impact on how they cope with managing their finances in later life.

He suggested that children who are taught good financial habits grow up more able to cope with life and tend to be more successful, better paid and happier.

"Teach them to defer gratification, structure experience for them, so they understand that decisions and actions have consequences, and start them early," he explained.

Mr Stephenson also advised parents to set out goals and priorities when managing money so that they can use their cash as efficiently as possible.

His comments were prompted by new research from the Halifax, which revealed that children in Harpenden in Hertfordshire have the highest average savings balance than other boys and girls in the UK.

Moneyextra.com recommends you take independent financial advice before acting on any article

Back

2011-07-13 13:43:26 © Moneyextra.com