Some of the toughest lessons to learn in this life have to do with money. It can be tempting as a young person to simply spend money just as quickly as you earn it, but we all know that’s not wise. Here are some of the best pieces of wisdom you can pass to your grandkids about money to make sure they spend and save wisely.
Passing on Monetary Wisdom
Save All You Can
When you’re young, it’s easy to say “life’s too short, spend it while you’ve got it”. However, you need to remind your grandkids that life is the longest thing they’ll ever do, so saving is the best thing for their money. Teach them to save all they can, even from a young age. A penny saved is a penny earned, and the sooner they learn this lesson the better!
Forming saving habits at a young age ingrains them. Many young people who don’t interact with money or learn about saving form bad spending habits early in life that can be very difficult to break. Teaching your grandkids to save is giving them a life-long skill.
A huge number of young people are actually scared of the Stock Market and don’t realize it’s a great way to grow their money. Teaching them to invest wisely, to buy low and to sell high, is another life-long skill. Teach your grandchildren that the Stock Market isn’t some mysterious force to be afraid of, but a great resource for them to acquaint themselves with.
When to Spend
Of course, just saving forever isn’t the goal. In the end, your grandkids need to know when to spend. Teaching them about saving for goals, such as for a nice vacation or for a new car, is a huge boon for their financial well-being.
Money doesn’t need to be something confusing and alien, even to children. Get them started early so they understand these concepts. The sooner you start them, the more this timeless wisdom will be second-nature to them.