Moms Talk: Teaching Financial Responsibility

Each week in Moms Talk, our of experts and smart moms take your questions, give advice and share solutions.

So, grab a cup of coffee and settle in as we start the conversation today with a question from :

Most parents have probably had a conversation similar to this with a child:

Child: "Mommy, can we get that?"
Parent: "Sorry, we don't have the money for that right now."
Child: "Well, then just use your credit card!"

Kids often know the importance of money at a very young age, but not many know the value of money. To help them understand, MoneyInstructor.com recommends talking to kids between the ages of 5 and 10 about the family budget. This doesn't mean worrying them about the bills, but explaining there is a certain amount that comes in every month and a certain amount that goes toward expenses such as food, clothing and utilities. You can also explain that there is a set amount that must be saved for emergencies and future expenses. Charitable giving can also be taught at this young age.

Children who get an allowance should know what they are expected to use it for, what portion they are expected to save, donate and spend as they wish.

How do you help your children navigate the world of personal finance?