Question: I want to encourage my two teenaged children to save, how can I help them develop a savings habit which can bring immense benefits?
The earlier you can teach your teenagers about the benefits of saving, the better prepared they will be to manage their own money in their adult life. Teens can be frighteningly ignorant of the value of saving and investing, so the earlier you address it, the better.
Perhaps the best way to encourage a savings habit in your teenagers is to be a saver or investor yourself. Teenagers are likely to put more credence in your message to save or invest if you already practice what you preach. It is important that you examine your own attitude towards money so that your words of wisdom to them do not ring hollow. Teenagers are notoriously effective at identifying the inconsistencies between parents’ stated values and their actions.