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MOM'S MORNING MINUTE: Kids and financial literacy

COLUMBUS, Ga (WRBL) -- - A majority of parents believe they should be teaching their children about finances but research shows that isn't happening. 

According to the "Georgia Credit Union Affiliates 2017 End of Year Survey", most adults learn about managing money through experience and life lessons, not from their own parents or guardians. 

Mark Littleton is the President and CEO of Kinetic Credit Union. He has some advice on how to teach your kids not only does money not grow on trees, but also how to manage finances starting at a young age.  
 
Why is it so important for parents to teach their kids about finances? 

 "When you think about it, finances are something we have to know throughout our lives so when you go to school and you learn about different things with science, with English, and math, that's throughout your life too.  But one thing you know you'll be doing on a regular, daily basis is managing your money and it's really important children get their foundation at home."

 How do we go about doing that? Where do parents begin?    

  "There are lots of online resources and we have information on our website for kids and parents to help start teaching them about financial literacy.  You can also go to your credit union.  We have a specific program set up for children that helps teach them the basics of saving money and 
teaching them about incentives and gets them familiar with coming in to a branch.  So it teaches about managing money on a much lower level on a day to day basis."

Is there a certain age to start? 

 "Our Green Kids account starts, we really don't have a minimum age.  Probably around school age and maybe kindergarten, pre-k.  It will vary from child to child but certainly by the time they're getting ready to start school is when you should begin the process of teaching them the basics of money.  Having a piggy bank or a jar and setting a goal for something they may want.  When they're young enough to really enjoy that and start laying that foundation for the future.

Do you think this will help kids avoid financial trouble in the future?      

  "I think when you start developing those habits at a young age, then as you get older, you retain a lot of those habits and it's really important they begin as young as reasonable for each child to just learn the basics."

What tips do you have for saving, investing, charity and spending?    

 "From a kids perspective, it's good if you can make it fun so you may want to cut out pictures of something that a child wants.  Post it on the refrigerator and have a goal and say, 'Every month you want to be able to save to make this purchase.'  I think the key is engaging ideas and not making it too black and white and making it fun so that will get them interested in learning to save."

For more information on how to teach your children about managing finances, click here:  https://www.ncua.gov/Pages/default.aspx 


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