Are you tired of constantly nagging your parents for a dollar here, five dollars there? Well, that wouldn’t happen anymore if you got your own allowance. I believe that children should receive a weekly allowance for completing his or her list of chores, doing extra to help around the house, and good behavior. In my opinion, children should receive an allowance for doing chores for the purpose of building financial literacy, encouraging independent thinking, and reinforcing good habits.
Building a financial literacy for your children is important. Giving them an allowance will help you do that. An allowance will give kids a chance to experience dealing with money before it becomes a crucial thing for them to know. The more practice and time they have dealing with money, the easier it will be for them to handle it as they get older. It will also give them more time to learn and perfect budgeting skills. Giving your child this skill early in life can help prevent complications when they are on their own. It is important to learn early on that you must work hard for the things you want. Your parents won't always be there to help you out.
Becoming a more independant thinker will lead to not having to rely so much on your parents. Having your own money would make it easier for you to make purchases without mom or dads help. You would learn to budget and decide what would be an acceptable price and what is not worth buying. Considering the price more would be an effect of spending your own money. Most kids wouldn’t want to give their hard earned money up on an overly expensive toy. You would put more thought into the amount of money your spending and if its worth it or not. Having money of your own to spend would cause you to become m...
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...ial literacy, encouraging independent thinking, and reinforcing good habits. Building financial literacy in children while they are young gives them a chance to use and begin to understand money for a longer period of time. Therefore, giving them a better understanding of it when they are older and, in a way, giving them a head start for being financially responsible as adults. Encouraging independent thinking will give adolescents a chance to think for themselves even if it is small decisions at first. Because they will most likely value their money and not want to give it away for just anything, their peers will have less of an influence on their decisions. You, as a parent, can reinforce good habits like self-discipline, setting short and long term goals, and learning and practicing good work ethic. Nagging all the time has got to stop. Set up an allowance system.
Once high school ends, most students progress to college after a year or two from graduation. Due to all of the expenses for textbooks and etc., the student might realize that they don’t comprehend what to conserve or spend their money on to get through their years of college which will leave them clueless on what to do next. With situations like this that might occur, all high school students should take a financial literacy class as part of the mandatory course in order to get a diploma. With a numerous amount of students not having enough knowledge about how to manage their money carefully, presumably they’ll have trouble living their life as an adult. Taking a financial literacy class would help students stay out of debt, they’ll be prepared for their future, and they would recognize the discrepancies between wants and needs.
Most kids that have graduated high school have never been educated on the subject of personal finance, so they don’t know things like how to pay bills, or even how to do something as simple as applying for a job. According to a family friend of mine, Ron Hart; who happens to also be an award-wining author and TV/radio commentator, believes that students in high school don’t learn anything about how to get a job or get prepared financially. He states that, “ Students should prepare for a job. Maybe, instead of taking a fifth field trip to the Trail of Tears site, do one to learn about real jobs in an area they might want.” Hart believes that most basic high schools aren’t teaching students how to become financially stable for their future, which can cause major issues. He claims that “few schools teach about the value of hard work, ingenuity, gumption and entrepreneurship. Those lessons are as rare as Donald Trump bumper stickers in the faculty parking lot.” Hart also goes on to talk about how high school does not prepare you for life the same way college will. There are so many more lessons to learn there that people are missing out on. College is very important due to the fact that it will teach students more skills about finance and job seeking that most high schools don’t. In college, kids will learn how to save and budget their money, pay for their own expenses, and prioritize their needs verses their wants. Learning financial responsibility is also something that kids will carry with them throughout their jobs and their life. Having more freedom to understand the concepts of person finance will allow students to make mature decisions while easing their way into real world
You have just received a big wad of cash from your parents for your allowance. You smile, but did you really deserve it? You asked yourself this question because your ELA, Math, Science, and Social Studies grade is declining! Do you really deserve it while your grades are decreasing? Or maybe your behavior has not been urbane lately? Why do some parents insist on giving allowance to children regardless of their poor academics and actions? Especially, if they remiss their chores over and over again. kidsgrowth.com says that “Kids should get allowance because it's their "practice money." How else can they learn how to handle it?” They are right, but are you handling your money the right way, by earning it the right way first? Kids should be given an allowance at an appropriate amount, only if they display their effort, grades, and if they are age appropriate.
Parents may not feel comfortable enough with their own financial situation to discuss personal finance with their children (Williams, 2009). Additionally, the parents, or other influencers, may not have a full grasp of certain concepts of financial literacy. In an article by Carlin and Robinson (2010) it was noted that “many retirement-age adults lack the financial literacy to understand the basic features of their retirement plans.” Financial literacy through socialization and practice may not be enough for students; whether it be “disadvantaged” youths who often lack a high quality of life at home, or youths whose parents have stable jobs with retirement
Many parents feel that their kids are not ready to be faced with such a stressful responsibility, so why should they have to experience this before they have to? Parents do not want their kids to be taught these courses too soon. The article entitled “Is It a Mistake to Try to Teach Financial Literacy in High School?” by Hank Coleman from Daily Finance states, “Classes in budgeting, credit cards, compound interest and other basic personal finance skills can help prepare our children for adulthood. The problem stems from overzealous mandates. Our children -- and far too often, our teachers -- [are not] in a position to handle more than a cursory examination of financial topics.” This article not only covers the idea that students may not be ready for this serious topic, but teachers may not be prepared to teach these topics for a younger audience. Although these are valid points, there is never an appropriate time to start incorporating financial education without some stress. Students need to be to be able to welcome financial responsibility after graduating. It is unattainable, however, to set a specific point in a student’s life where learning this topic will not cause some amount of stress. People who believe that teaching these topics at a younger age will cause unnecessary
In the book Rich Dad, Poor Dad the writers stresses the importance of financial literacy. Before reading this book, I will be honest and say I had no urgency to learn about money and how it operated. Personally, I figured this was something you learned as you receive wealth, not beforehand. After reading Rich Dad, Poor Dad and learning about the success he has had after learning about wealth, I would agree that by learning how money operates is key to obtaining it. This book did not change my mind about the subject, but it broaden my outlook on what it take to gain wealth and how to keep it not just for myself, but for my family also. The most important thing that I learned from this book is that with a little wiliness to learn and a little knowledge gained, one can achieve wealth. It is with these key ingredients of knowledge an everlasting
When children reach a certain age, they like to have their own spending money. While they sometimes receive money for birthdays and other holidays, some parents pay their children for doing work around the home. While this benefits the child in an effort to have their own money, there are many pros and cons of giving kids an allowance for chores. Some people believe paying children to help out around the house is redundant. While most children are assigned certain chores daily, weekly, even monthly, these chores should be done whether a child gets paid an allowance or not.
A true tale of two dads, one dad is a highly educated professor, the other, an eighth grade dropout. The educated dad left his family with nothing, except a few unpaid bills. The dropout later became one of Hawaii’s richest men and left his son a fortune. The educated dad would say, “I can’t afford it” while the other, asked, “How can I afford it?” Rich dad teaches the boys priceless lessons on money, by making them learn through experience. The most important lesson he teaches is to free yourself from the “rat race” of life and learn to make money work for you, and not be its slave. He knew that financial literacy would help prepare the boys for their life. Though one must have a job, Rich Dad taught the boys to eventually use your day job to begin minding your own business.
In conclusion, the best way to manage your money is to keep a budget and record all your transaction to see where your money is going. Living with a budget isn’t the easiest thing in the world, but it can be a great alternative to worrying about how you are going to pay for your expenses. Budgeting allows you to create a spending plan for your money; it ensures that you will always have money for the things that are important to you. Following a budget will also keep you out of debt. If you don’t balance your budget and spend more than you make, you will have financial problems. Many people don’t realize that they spend more than they earn and slowly sink deeper into debt every year.
Credit companies and banks make it very easy for families to spend money they do not have. For instance, credit cards are commonly accepted in stores, restaurants, and many other establishments. Parents sometimes feel that they need to buy their children everything they want, regardless if the money is not in their wallets. They also live such busy lives, making it hard to cook a meal at home. Parents find it more convenient to go through a drive-thru or to dine out instead because it saves time. On the other hand, they are spending extra money they do not have. Families also like to go on vacations that they cannot afford. Charge vacation trips it all on credit cards. Meanwhile, only able to make the minimum payments on them. They probably do not consider the interest rates that these credit cards have. Another situation is when one of the parents decide to buy a car without having a down payment. Financing cars paying loans with massive interest rates. Sometimes this occurs when they see someone they know buy a brand new car, so they think that they need one too. This is known as competing with the Joneses. Many parents and children want what everyone else around them has. However, the parents may believe they can afford it, but in reality all the overspending adds up an...
Many students in grade school don’t obtain money very often because they do not have a steady income, so they are prone to spend the money they get. For example, if a student gets money for a holiday, the first thing that comes to mind is to spend it on something they want because they are not used to having money. They don’t know the next time they will get more money so they don’t see the importance of saving. Since there would be a constant income a student will see the effect of saving because their amount of money would constantly be increasing which will motivate them to keep saving. If students learn how to save while they are younger they will be more successful in life, and they will also have that money to use when they graduate.
Growing up, my parents weren’t well to do in a financial point of view. In fact, there was a point in their lives in which they were both in horrendous debt that affected the way we lived. This continued throughout my childhood and is still somewhat present till this day. Although divorced now, my parents, well, only my dad, is not the man that I would go to for financial advice. At one point, he was pretty much putting money in a paper shredder, watching it destroy our childhood bit by bit, paper by paper. On the contrary, almost all my cousins lived a financially stable childhood. In fact, they were all spoiled and given whatever toy they want, whatever new
Another way that parents can help their children with their maths, is to give them pocket money. It does not have to be a large amount, and they may have to do chores to earn it. This not only teaches them about the value of money, but they may need to use basic maths to work out how long they will have to save to buy the special toy that they want. This means that children are developing their money se...
Money is essential for our everyday lives and people have to face choosing whether to save up or spend their money. Of course earning our money can difficult considering that it is a necessary asset that affects every aspect of our life. Every day we see people working hard to earn as much money as the can. However how they use using the all the money earned is a frequently debated topic have seen many people who earn money and can no restrict themselves from spending .They usually act like wild animals fighting for food and being separating from the delusions of business. People are usually confused and frustrated by the amount money the use in a week without knowing that their daily impulse buying objects have piled up. Although it can be very hard to control there are many easy steps to stay away y from spending and instead saying up. Setting a goal, recording the amount you spend and even lowering your expenses can be small steps that will lead to great success in saving for the future