Home > Credit Resource Center > Finance Headlines > Personal Finance Tips to Share with Kids

<A TARGET="_target" HREF="http://www.lowermybills.com/crc/index.jsp?i=i&sourceid=lmb-13572-29280-23328"><IMG SRC="eic_crc_TargBalTran_WomanCivilDncButt15s30k_0308_728x90.gif" BORDER=0></A>

Personal Finance Tips to Share with Kids

Posted by: Lisa Nichols | Apr 07,2008

Giving kids personal finance tips provides them with some of the tools they need to be successful later in life. Personal finance classes are not emphasized in secondary schools and are not usually required in college. Give kids personal finance tips to help prepare them for their financial future.

 

Credit Scores and Children: What They Need to Know

 

Talk to children about credit scores and the impact of a credit history on their lives. Kids need to know that their credit report will follow them no matter where they live or work. Children should also check their credit scores to guard against identity theft.

 

First Credit Cards and Your Children

 

Getting a first credit card is like a rite of passage. Kids in college will soon begin receiving offers for student credit cards. Children who enter the workforce after high school will also have to choose between low interest credit cards and rewards credit cards. Explain the benefits of different types of credit cards to kids to help them understand how to get the most out of their first credit card.

 

Taking to Kids about a Money Saving Plan for the Future

 

Talk to kids about a plan to save money for the future. Explain that they should set aside enough to protect them in case they lose their job- three to six months’ worth of emergency savings is a conservative savings plan for kids. Short-term and long-term money-saving plans for small and large purchases should also be discussed with kids. Let children know about the benefits of 401(k) plans and similar retirement plans at work, and why they are important. Make sure kids understand how much money they can save when they take advantage of employer-sponsored retirement plans.

 

Personal Finance Tips for Kids: Buying a Car or Buying a Home

 

When it comes to personal finance tips to share with kids, make sure to talk to them about buying cars and buying a home. Talking to kids about whether to buy used or new cars or a starter home vs. a condo can help them make the most of their finances in the future. Additional costs related to major purchases, like insurance, HOA fees (if applicable) or home repair costs should also be part of the discussion about personal finances with kids.

Sponsored Resources Ads by Google

<A TARGET="_target" HREF="http://www.lowermybills.com/crc/index.jsp?i=i&sourceid=lmb-13571-29279-23156"><IMG SRC="eic_crc_TargMenuCredTypePerkCardLink3Arrow_0308_728x90.gif" BORDER=0></A>