Financial training for the superparents.

Here we give you tips and tricks on how to give your child a better understanding for money as a parent.

You can’t just go to an ATM if you are out of money

Introduce and be someone you can rely on if children want advice or talk to
Most children get their first weekly pocket money at the age between 7-10 years. The weekly pocket money is normally around 20 kr at that age. When the child gets older and more mature, you can raise the weekly pocket money and after a while go over to monthly pocket money. Don’t just hand out the money. It’s important that you as a parent discuss with your children. Are they happy about their choices and how well have they spent their money?

The dinner table is not wrong
Talking about money during dinner time is not wrong. Money should be funny and not related to anxiety when the child wants to buy something new and there is no money left. Many tough discussions between children and parents are related to money. Thats’s why you should talk about money continuously and not only when the wallet is totally empty.

Negotiate with your children
Negotiations are important so that parents and children agree on what the money should cover from time to time. Weekly pocket money that covers a child’s purchases and at the same time gives an opportunity to save some money is recommended.

When there is no more money: Say no
When you have agreed about the weekly and monthly pocket money, the children can take responsibility for what they can buy and what they will do with their savings. At time specific occasions the children can expect their weekly or monthly pocket money. The children will therefore be able to predispose their own money and take responsibility for what they purchase. If the money runs out, the children will have to wait for their next weekly or monthly pocket money.

Let your children buy the ”wrong” stuff
The youngest children buy candy with most of their weekly pocket money. For boys tv and computer games are most common and for girls, make-up and clothes are most common. It’s important that, if you as a parent don’t like your child’s purchases, you still have to allow them to buy what they want. The children have to learn to make both right and wrong choices. Making own choices is the whole idea. If you take away that part, you will prevent children from learning, make up their own minds and find their own solutions.

Two out of three children in Sweden get weekly- or monthly pocket money from their parents.
Apps and digital appliances give the children a good base for learning.

Learning which is not damageable
Det finns ingen forskning som visar att det skulle vara skadligt för barn, stora som små, att använda en surfplatta eller mobil. Att surfplattan eller mobilen ska sända ut skadlig strålning eller göra att ett barn på något sätt får sämre inlärning är bara en myt. Det finns däremot en risk då vi låter bli att lära våra barn om digitala tjänster och plattfomar, via mobiler och läsplattor, vilket leder till barnen inte lär sig den teknik som resten av samhället har anammat.

Give a chance to this new form for learning
Som föräldrar är vi ofta känslostyrda och vi människor har överlag svårt att relatera till nya saker i samhället. Att använda digitala verktyg till barnen för att underlätta vardagen ses av många som skamligt. På samma sätt som vi har skepsis mot mobiler och surfplattor har vi bemött boken och tv:n när de var nya i samhället. Men låt inte dina egna ideal av barndomen styra.

Money in the phone
The easiest way for adults to keep control over the money is looking at the mobile. So this should be the same for children. Today, most children have their own mobile phones and have a good understanding for its use and functions. Therefore it is important that they also can handle money in their mobiles. Use apps that are understandable for children that show money its true value and the symbolism by saving and wasting.

Digital purchases are also purchases
It’s difficult for children to understand that mobile purchases or purchases at the internet costs money too. Because they can not see any physical money is it important that you as a parent enlightens the children that mobile- or internet purchases are bought by real money. One out of ten youths says that they have bought something at the internet that they thought was free. Every second youth has at the same time bought something from the internet within the last three months.

Let the digital accentuate creativity
Mobile phones and tablets inhibit the creativity amongst children, compared to for example Lego. This is a myth. If you take a closer look at a package from Lego, those it give you all the instructions what to do. Compare that to Minecraft for example, where there are no boundaries for what you can create with an infinite number of ”lego-pieces”. The next generation’s digital platforms will without a doubt challenge the physical worlds limitations when it comes to creativity.

84 % of the children in Sweden aged between 5-8 years old have access to a tablet.
50 % of our users have bought something from the internet during the last three months.
You can’t just go to an ATM if you are out of money

Prepare your children for the grown-up life
The way you can learn mathematics, balance of your mind and football is the same way that you can learn to handle your economy. A good way to lear the children about economy is to give them the liberty to questioning and think for themselves. If during the children's childhood we give them the opportunity to make their own choices, they will be able to make succesful or horrible purchases. Even the bad purchases will help the children to learn and develop when it comes to economy. Maybe they will change their desicions next time. Give the children the liberty to choose for themselves.

Create the opportunity to earn an extra coin
By giving the children tasks at home and school, they will be learning that getting money often demands some kind of effort. When the children earn their own money, they will understand its value and a feeling of owning their own money. It can also create a companionship within the family when everybody is helping out. The children should not get paid for everything they do. They can then easily think that as soon as they do something they will be rewarded with money.

Learn and play
To play with money and play games like Monopoly is a good way to introduce new terms and create an understanding for expenditures and revenues. Buying/selling games at home gives the children an insight with concepts like money and trade. If you have any older children they can start to invest in real or fictional companies, and create a game where you compare with the real trading market. Compete and see who succeeds ”investing” money in the right company!

Give a saving bonus
By giving the children an interest rate for their savings, you will increase the opportunity that they will save money. You have come a far way learning the children about money value if they understand that it is important to save and it will take time to achieve the amount that an expensive item costs. Let the children create their own savings goals. Let them know that saved money increases as time goes by. That is a realistic image of how the world looks today.

When the money run out
Sit down and have a chat with your child if there is not enough money to buy certain items. Talk about why there is too little money. Does your child get too small amounts, or does he or her spend their money too easily. Unpredicted expenditures is a matter, but if you give the child the impression that they always can get more money, they will never learn the money’s true value.

Encouraging the stuff you want to see more from, is the best way to affect children's behaviour.