Children learn by watching others. Who do they watch more than their parents? As parents, we need to be careful to put our best foot forward in matters of money in order to give our kids a healthy start in that arena.

A parent that spends money today without giving thought to tomorrow will almost certainly teach their child to do the same. Using money as a means to an end is not a good lesson to pass on. Money is important because it is a necessary tool of life. Money does not turn a house into a home, but it does keep a roof over one’s head and food on the table.

The respectful use of money will help ensure that money is always available when necessary. Money problems are the main cause of arguments for married couples, and parents with differing backgrounds will usually have even more difficulty seeing eye to eye financially. In order to prevent children from being affected by such issues, parents need to come to an accord on how they will care for money matters as a family.

Parents have not all had great examples of how to save money in their pasts to look to, and learning to do so does not happen overnight. Reading books or taking classes on money management can help end bad financial practices and will also influence children in positive ways when it is shared with them, perhaps at family meetings.

If the family doesn’t have a financial plan, start one. Gathering the family together to do this is another way to include children in financial decisions. Being part of a family meeting shows children the role money plays in the home. Family meetings can be a place to voice any concerns about money and to find answers together.

As a child, my family didn’t have a lot of money. When I was old enough to have a job, I would spend my money on whatever I wanted. I didn’t want to live a life where I was deprived of things because I didn’t have money. I worked hard, but spent every cent.

This carried over into my adult life and created problems when I got married and started a family. My parents didn’t do anything wrong, there just could have been a few more “right” things done. We never talked about money. It was a “grown-up” thing and children weren’t included. I went with what I perceived to be the truth when it came to money.

Teaching children about money is certainly preferable to simply leaving them alone to figure out financial things. Let children be part of conversations on big financial adjustments in the family so they know how things will be handled. This does not mean, however, that children have to know about every little decision you make regarding money.

Childrens view of money can definitely be affected by how their parents choose to handle it, for better or for worse. It is important to remember that kids are always watching, so let them see good financial practices that they can learn to imitate.