It’s a challenge for just about any parent to teach their kids how to handle money. “Hey dad, can I have another $20?” Sound familiar? That request usually comes soon after I ask for help cleaning up the yard, and the reply is “Sorry, I’m busy.” Fortunately, there’s no shortage of tools to help parents with their finance lessons.
MSN Money has 6 ways to help children and teens deal with finances while keeping them on a short leash. Here are a few of them:
- UPside card. Many parents like to pay their kids an allowance with a prepaid card… and the UPside Clear Card is specifically aimed at teenagers. The card is a great way to test the prepaid card waters.
- SmartyPig is essentially an online piggy bank that helps you save money for short and long term goals. Mom or dad can open a savings account, and then invite their child to be co-owner, and add money anytime. The accounts are FDIC insured and pay an interest rate of three percent.
- ChannelOne.com is an online credit card simulator, where you can calculate the real cost of a purchase when interest charges are added in. It’s always an eye-opener to learn that $500 camera will cost a lot more once that low interest introductory rate jumps dramatically after only a few months and you’re making just the minimum payments.
These are great tools for your kids to learn about how to handle money. And you’ll notice they’ll also help their parents learn a lesson or two about their finances. BTW, can anyone give me $20? I’ll even refuse to help you with yard work for the money. Sounds like quite a deal, doesn’t it?
Go here for the rest of the “6 Great Money Tools For Your Kids”.