Money wise from an early age

Use the opportunity when you buy something to talk to your child about the meaning and value of money. You can make him understand that you have income and expenses and that your money is limited. In this way he can learn the difference between stuff that’s necessary (fixed expenses) and stuff he’d like to have. Explain to him what it means when something is cheap or expensive and why you prefer a certain product above another. By showing him two of the same items that have different prices, you can make him understand that things have different values.

You can explain through play how he can make money by making and selling things. By taking part in the school or church fair, your child can learn how he can use his talents to earn money. Remember to save some of the money he earns in this way. It’s also an opportunity to explain what costs are and what it means to make a profit.

Gogos and Mkhulus like to treat their grandkids. Ask them to give money instead of gifts from time to time. Take your child to the shops, and use the money for a toy. He’s not allowed to spend more than Gran gave him. In this way, you can help him gain a better understanding of the value of money.

Older children can be taught how to buy something and receive change. Let him give the cashier the money himself. Your child must be taught how to spend money responsibly. He must know why he’s not able to buy something and why his money runs out. He can also learn that buying things does not always bring the joy he expected. Talk to him about advertisements and how people try and make money that way. Your child may be too young to know about status but he’ll be aware of peer pressure.