Teach children financial habits early, say experts

Teaching children about money is important, according to David Malone, CEO of the Irish League of Credit Unions. He believes that starting early, even in primary school, can help children develop good financial habits for life. Malone suggests using fun and interactive methods to teach concepts like saving and budgeting. A program called Start Money Smart has been created for primary schools, focusing on topics like earning money and financial literacy. This program uses games and activities that make learning exciting and engaging for young students. He recommends involving children in budgeting activities, like planning a birthday party. This helps them understand the difference between spending and saving. Malone also emphasizes the need for ongoing financial education, extending beyond primary school into secondary education. Leah McMahon, a financial planner, echoes this sentiment. She works with teenagers to teach them about managing their money and saving for goals. McMahon believes that learning to save early can help build good financial habits that last into adulthood. Financial literacy programs have been introduced in schools to address concerns about money management among young people. These programs teach skills like budgeting and understanding debt. Many students express a desire for more education about finances, realizing it was lacking during their own schooling. A popular initiative is the Money Smarts Programme, created by Bank of Ireland, which aids students in grasping essential financial concepts. The program includes workshops and presentations on savings, spending, and other financial topics. Fintech company Revolut also supports financial education with its app for children and teenagers. The app allows parents to oversee their children’s spending and teaches budgeting skills. Revolut aims to promote financial literacy among young people in Ireland. Overall, experts stress the importance of early financial education and good money habits to help young people navigate their financial futures.