As a result, you may have learned some financial lessons the hard way. Don't shortchange your children's financial education. Teach them the importance of saving, thriftiness, honesty and generosity. These values will direct your children when it is time for them to make their own decisions. Give children an allowance.
Allowances promote responsibility and show children how to manage money.
The allowance should be big enough so some is left over at the end of the week for the child to spend as he or she sees fit. To combat this advertising blitz, parents should teach the difference between needs and wants early on. Needs are basic necessities such as food, clothing and shelter, and wants are wishes like toys, jewelry and designer clothes. Every parent has done it. They've bought a toy or candy just to quiet their child.