Do you want to help your children grow up to be financially independent? We have a few suggestions today on helping you make that dream a reality.
Chuck Bentley, the CEO of Crown Financial Ministries says all parents want to help their children financially, but it is more important to teach them to become financially independent.
Here are some of his suggestions on accomplishing that goal:
First, Start early with dividing all income, including birthday gifts, into envelopes for giving, saving and spending. When they are young, he recommends they give 10%, save 70% and have up to 20% in a spending envelope. These ratios can change over time.
Next, give them responsibilities to pay for expenses as they grow older. Things like a cell phone, the first car, their car insurance, and gas. All of these teach important lessons on earning, saving and spending.
Also make sure you teach your children God’s financial principles about debt, saving, giving, planning and being a faithful steward. Bentley says they’re able to learn much earlier than we may give them credit.
And finally, If your adult children live at home, give them financial responsibilities and goals to achieve before moving out on their own.
Bentley says preparing your children to manage their money well will set them apart from their peers and give them a great start in life. And he recommends you use their daily devotional called God is Faithful to help in the training.