Good financial records keep you in good financial health. Start teaching your kids the importance of keeping good financial records by creating a financial journal together.
Any blank journal will work but if you can find a general ledger type journal (with columns that specifically accommodate dollars and cents), that's a plus.
For individual pages use the following column heads:
Date -- Item -- Amount -- Spend -- Save -- Share
Sample entry:
3/1/00 -- Weekly Allowance -- $5.00 -- $2.00 -- $2.00 -- $1.00
Use one line for each transaction. The Spend, Save and Share columns should have corresponding piggy banks in order to separate monies easily and to promote understanding. The Spend column/bank is money for them to spend as they like. The Save column/bank is savings that can not be touched (used only for big ticket items or long-term plans such as college). The Share column/bank is money to give away to those less fortunate (through your church or local charities).
Sit down with your child at least once a month to review and initial each entry in their journal. Use this time to discuss the good and bad choices that were made with regard to their money.
Suggestion Rating
