Envision Financial helps parents with lessons in money management

Parents can begin lessons in money management with kids as young as three


With the return to classes, brown-bagged lunches and regular learning routines back in full force, there’s no better time for parents to focus on their children’s financial know-how.

“Money management isn’t a subject that most schools focus on, and so it’s really up to parents to teach these foundational skills,” says Jennifer Flentge, an investment expert with First West Credit Union’s Envision Financial division “Be honest and open about money with your children in an age appropriate manner. Look at everyday situations as opportunities to learn. For example, let them know how much is budgeted for entertainment and suggest alternatives like borrowing a movie from the library instead of going to the movie theatre if that budget is already met.”

Research suggests that children’s financial habits are formed as early as age seven, signalling a need for conversations about money to begin as soon as a child is old enough to understand the basic concepts.  From age three to five, these lessons can include the difference between saving and spending, what a need is versus a want and the idea that sometimes you need to wait before you can have something—a lesson easily demonstrated with saving, spending and sharing jars.

“Setting up three money jars is a very visual and tangible way to see where their money goes. The spending jar would be for them to spend as they wish, a saving jar to save and the third for charitable giving. Alternatively, with today’s tech-savvy children, allowing them to do this online is effective and provides a great opportunity to learn about earning interest on their savings.”

Between age six and 10, financial skill-building should grow to include candid explanations of your decision-making process in everyday situations (choosing between brand name and generic products in the grocery store, for example—or calculating your family’s savings when buying in bulk.)

It’s also an essential time to give kids a bit of money to learn with, while tweens and young teenagers can begin to understand compound interest and the difference between good and bad debt.

Flentge also recommends that parents avoid linking weekly allowance to household chores. “Chores are a part of life and living with people in a home,” she says. “Teach your children that the basics such as cleaning their rooms, making their beds, and setting the table are expected and they can earn extra money by washing the car, taking the bottles to the recycling depot or setting up a lemonade stand.

“The best financial help any parent can give their child is information and experience—and your financial advisor can help you identify everyday teachable money moments if you’re unsure of where to start.”


About Envision Financial

Envision Financial is a premier provider of banking, investment and insurance services for residents and businesses throughout the Fraser Valley (including Hope,) Lower Mainland and Kitimat regions. As a division of First West Credit Union, B.C.’s third-largest credit union with 53 branches and 40 insurance offices throughout the province, Envision Financial brings innovative products, an extensive branch network and local decision making to the banking experience. For more information on Envision Financial, visit www.envisionfinancial.ca.




Just Posted

Rescue boat theft marks third in 3 years for Agassiz-based SAR team

Eight-metre Spirit of Harrison rescue vessel was stolen Friday night, found Saturday morning

Hope stylist holds hair-athon for a good cause

Shayla Ross donating all proceeds of $10 cuts to the food bank

Hope arena turns green for hockey tourney

A second attempt at green ice, with proper ice paint, after food colouring experiment last year

Project Hope celebrates first birthday

Also: lego-mania comes to town, lineup of all-female comedians entertains Friday

New Hope clothing store loses $6,700 after early morning break-in

Broke Buckle Clothing Company owners hold “dirty deeds” sale after loss

VIDEO: B.C. Mounties reunite veteran with lost military medals

RCMP say Zora Singh Tatla, who served in the army in India for 28 years, is the righful owner

Federal government seeks public feedback on pedestrian safety

What safety measures do you think need to improved for pedestrians and cyclists?

Search continues for 10-year-old Montreal boy missing since Monday

Montreal police said they are exploring every possibility in search for Ariel Jeffrey Kouakou

Airline passenger-rights bill claws back protections for travellers: Advocate

Bill C-49 would double tarmac delays, scrap compensation for flights affected by mechanical failures

Canadian research vessel to explore 19th Century shipwrecks

Commissioned this week in Victoria, the RV David Thompson is Parks Canada’s newest vessel

VIDEO: ‘New wave’ of anti-pipeline protests return to Trans Mountain facility

About 100 demonstrators with Protect the Inlet marched to the Burnaby terminal Saturday

B.C. man to plead guilty in connection with hit-and-run that killed teen

Jason Gourlay charged with failure to stop at the scene of accident, attempting to obstruct justice

BCHL Today: Wenatchee Wild goaltenders a cause for concern

BCHL Today is a (near) daily look at what’s going on around the league and the junior A world.

Canadian survivors, supporters rally against proposed ’60s Scoop settlement

Some have accused the government of underestimating the number of survivors

Most Read