With the tech savvy characteristics of children, parents who are fascinated by trading CFDs can encourage their children to start being particular with money matters through different approaches. On a financial coach’s point of view, gifts are perfect avenues to help you fulfill your dream of teaching proper management of finances. Instead of giving them recreational things such as toys or gadgets, it would also be a good idea if you influence kids to apply their knowledge on the use of gadgets by managing their own trading account. With this, you are able to inculcate the value of saving in order to realize long term and useful dreams. Below is a list of giftable items to teach the value of finances to your kids.
4 Gifts that will teach Financial Literacy to Kids
1.Enrolment to a Trading Class for Kids
You might say that it is still too early to expose kids to the risks of trading but experts and even psychologists state that the best time to inculcate long term values and skills is when they are in their formative years. And one of the ways to orient them with the ins and out of trading on a child’s perspective is to enlist them into a trading class that is designed for kids.
As soon as your kids are able to internalize the basics of trading, they will probably feel eager to put what they have learned into practice so giving younger children a kid friendly stocks account to handle under your supervision will make them appreciate trading on a first hand basis.
3. College Savings Account
If you feel that they are not into trading then you can still teach them about financial management by teaching them to invest in their education. You can do this by opening a college savings account and then let them save together with your help and supervision. The small amount that they get from selling lemonades or their earned Christmas or birthday presents can be placed into this account so they learn to save for needs rather than wants.
4. Individual Retirement Account
Did you know that retirement plans are cheaper when bought at an earlier age? That is right! Experts suggest purchasing such plans at an earlier age because tax brackets are often lower when you are younger. But when it comes to the question of giving IRA to our kids, financial coaches say that this helps them become relatable to your retirement welfare. If you wish them to understand your reasons why there is a need for matured individuals to save for retirement, then it would be a good idea to buy one for them. This is done not just to secure them soon but to them about the concern for retiring individuals too.
Whether you are a parent who is trading CFDs, stocks or other financial instruments such as bonds or currencies, a meeting with your financial coach with your kids would be a good decision to jumpstart your financial literacy education to your kids. By involving your child to kid safe financial meetings, you are able to figure out which platform would be a good gift for your child.