Lessons about finance, how early is too early

Important lessons to teach your kids about money

Family and finance

It’s never too early for kids to learn about finances

It’s time to have the ‘talk’ with your children.

No, not that talk – we’re talking money. Now is the perfect time to introduce your kids to simple lessons on how to save and how to spend.

Here are some fun tips to put them on the right track to financial success:

Set a good example

Children are like sponges, which means they listen to and absorb everything you do – and that includes your financial habits. Show them your spending plan and let them see how you save before you spend.

Use real-life events

Shopping, errands and planning a vacation are great teaching moments for you and your children. Explain why you make the money decisions you do, and ask them what they would do if they were in your shoes.

Explain needs vs. wants

Every time your children say they want something, ask them to think about whether they really need it or just want it. If they think they need it, ask them to justify it. Can they live without it? Will they use it for a long time or will they tire of it quickly?

Make saving more interesting

Consider paying interest on what children manage to save from their allowance. They’ll realize the tangible benefits of saving and will be less inclined to quickly spend their pocket change.

Start early

Piggy banks are fun for even the youngest children (and we admit, they’re fun for adults, too). Teach them the value of each coin and how they add up.

Go beyond spending

Often we only teach children how we spend. Take them along when you save, donate and invest to teach them the full spectrum of money management.

Give an allowance

Giving your children a set amount each month will give them a head start on budgeting the money they have. While there’s no consensus on the chores-for-cash debate, sticking to the allowance agreed upon and refusing to give cash advances can teach them valuable money management lessons.

Have them create a financial security plan

Help older children brainstorm ways they can use their time and talents to start their own small business, such as dog walking, babysitting or raking leaves.

If it were up to us, financial security planning would be a required subject in school.

As it stands, it’s up to you to give your kids a good base to understand and manage their money. And it’s a valuable task – financial smarts will help them develop their math, planning, logic and reasoning skills.

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Business Busyness

Entrepreneurs and businesses start off with a concept, led by determination and grit to find an identity as a money-making venture.  Running a successful business requires organisation and detailed planning.  No doubt, every aspect of a business requires investment, not just in terms of finance, but also in terms of talent that supports and drives the business.

Capital investment, asset protection, employment and business expenses, funding for new growth, the list is endless.  A business needs all this and more.  At the helm is the Business owner who ultimately spearheads the wins and bears the brunt of losses.  In today’s competitive world, business decisions require quick-thinking and constant review.

Enter the what-ifs.  What if the business owner cannot work due to an accident or illness?  What if there are gaps in the business cash flow?  Do credit worthiness and sufficient collateral assets help with generating capital influx? What about unforeseen delays, losses and let’s face it, bad-debts?  How secure is the business?  If it is a sole – proprietorship, partnership or a Small Business, it is a fine line between personal and business solvency.

Most Small Business owners focus entirely on the primary financial commitments of the business.  We hear often about Business Owners who had to sell everything they owned to fulfil the business loans and debts.

Having a financially secure business is practical.  Risk management is also about protecting the business by safeguarding the key player(s).

Taking it a step further, business owners have the advantage of providing group benefits and options for retirement and health benefits through viable Group programs.  What better way to offer an added incentive and value to employees who would appreciate more than just a paycheck.

Finally, the business legacy itself.  Growth of the business and legalities for protection also mean that the business longevity and continuity is a necessary consideration.  Here is something to think about:

Haven’t thought out the succession plan for your business? Here are 6 reasons to start today: http://bit.ly/2UKegP8
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Today’s the best day to plan for the future of your business

freedom55financial.com

Money Matters

 “Money can’t buy happiness”.  

“It’s easy to meet expenses – everywhere we go, there they are.”

Money won’t create success, the freedom to make it will. – Nelson Mandella

“Risk comes from not knowing what you’re doing.” — Warren Buffett

“Financial freedom is freedom from fear.” — Robert Kiyosaki

Whenever the topic comes up about money, financial security and being free of the worries of what-ifs, there are a lot of different opinions and views.  Yet, the wisdom to follow true advice considers every aspect of an individual’s life.

Life Happens.  Plans are necessary and one can prepare for the unexpected, with careful thought to a multitude of possibilities.  While no one can anticipate and prepare for every possibility, a disciplined approach armed with up-to-date knowledge can aid in securing one’s own life and providing for life’s goals along the way.

From the time a baby is born, there are so many goals to aspire and plan for : a secure and well provided for childhood, curricular and co-curricular activities followed by advanced education; Marriage, a comfortable home, vacations, young families and then the preparation for the probable ailments, critical or fatal, and maybe a long life requiring care and attention.  How can one individual manage it all?  True, expenses are on the rise and there is so much that is now a necessity rather than a luxury.  Yet, we see examples all around of young millionaires as well as successful retirees.  How do they do it?

It is empowering and liberating when one has financial freedom.  Its time to understand that freedom from financial stress is possible.  Racking up credit card bills, while paying mortgage and other loans doesn’t have to be a stress factor.  There are simpler alternatives to just keeping money in the bank accounts.  Find out more by following this blog post for information on how to free yourself from financial worries.