April is Financial Literacy Month
- Money Management
Financial literacy is important for not only adults, but for the youth as well - as it's very pressing for children to learn at a young age, so they can grow up understanding how to handle and save their money.
1. Establish the difference between wanting something and needing it. Some things are a necessity, but others are not and you could skip that purchase and save your money for something else you may need, or even want, that may be more important to you in the long-run.
2. Delaying your purchase and not buying on impulse can help you think it through and come to better a decision. Self-discipline can be practiced through delayed gratification, which can in return help you save money.
3. Understanding how credit works is crucial. It's important to understand your credit report and credit score. Credit scores are important factors lenders consider when you apply for a loan, or even an apartment. Don’t forget you can check your credit report for free each year at AnnualCreditReport.com.
4. Time and saving help make your money grow. Money is something with a time value. Whether you’re just saving, or investing your money – it has great potential to grow as time goes by. Consider investing your money or opening a Money Market Savings account - check out our savings options for you and your child!
5. Understand how money works. For example: $1,000 to a child is a completely different feeling of wealth than it is as an adult. It’s important for parents to teach children at a young age the realistic vision of how money works in the real world.
Here are a few graphics from It's a Money Thing to help you get started with celebrating Financial Literacy Month!