In the present Tech-savvy world, nothing is far from our fingertips. From education to shopping, everything is easily accessible, and the word MONEY is predominantly heard. Children, as they grow, get influenced by their environment, be it school, peers, or society. To make children understand the value of their wish list, they should be taught the art of earning and spending. No development or modernization should undervalue the importance of money. Experts suggest the right time to introduce the concept of money to students is during elementary school. And at High school, they transition into young adults, by which, understanding money management, budgeting, saving, and investing is like sowing seeds of financial awareness. The Best International Schools draft their curriculum keeping in mind the overall development of the students.
Budgeting:
A budget is simply outlining a financial plan by making a list of the expenses, either on a weekly or monthly basis. It helps the student track the spending, identify the necessary and unnecessary costs, and allocate money toward essential needs and savings. It creates awareness of the financial world. This practice promotes financial discipline and the ability to make informed decisions.
Saving:
Saving is a financial safety net. It is a pillar for long-term financial commitments. Encourage the students to set specific savings goals, be it for higher education, a scholarship, a new gadget, or an emergency fund. It is important to instill the habit of saving from a young age. And this should start from Day 1 of receiving pocket money. Note that SAVING is also entitled to the budget list. Having clear objectives makes saving more purposeful and motivating.
Mindful Spending:
Mindful spending is not about withholding from spending lavishly. It is asking yourself, “Is this worth it?” and not falling for the appealing advertisements or the sea of messages asking you to buy and upgrade. It is the basic respect toward money. By practicing the same, students learn to make intentional and thoughtful decisions about finance and spending. Reflecting on spending habits is the first best step toward being responsible. Distinguishing needs and wants filters the majority of frivolous expenditures. Let’s be Mindful of Mindless Consumption.
Some of the powers of financial literacy are,
- Improved Financial Decision-Making
- Early Habits for Long-Term Success
- Reduced Risk of Debt
- Preparation for Adulthood
- Enhanced Academic and Career Opportunities
- Greater Financial Independence
- Informed Consumer Choices
- Stress Reduction
- Empowerment and Confidence
- Better Planning for the Future
Children are bound to be excited to buy new clothes, gadgets, and so on to be on par with peers and to keep up with the trend. The Cool attitude is often labeled based on the level of spending. They should be taught at the right time to prioritize expenses amidst navigating through the impulse of wanting it all. Growing to be financially conscious and cautious is a badge of a responsible individual.
Reach out to Edustoke for enrolling your child in a safe and enriching environment for the Best Education and comprehensive development.