Money ManagementFor Kids (NAPSA)—Parents can start talking with their children about moneyas early as kindergarten to instill good moneyhabits that will last a lifetime. In fact, research showsthat a little guidance goes a long way. As few as ten hours spent talking with your children about money improves spending and saving habits in the long run. The need to improve kids’ financial literacy has now been recognized by parents, teachers, and nonprofits working in education and economics and even the fed- eral government. A recent survey showedthat less than half of young adults pay off their credit cards every month or have a rainy day fund. The same survey showed that less than one quarter of young adults claim to have a good understanding of how to invest in the stock market or mutual funds. You don’t have to make money lessons special events. There’s a lot your kids can learn every day if you let them participate in the many routine financial transactions that take place around them...from grocery shopping to paying the monthlybills. In addi- tion, there are simple games you can play with your children at home to help establish good moneyhabits. Fortunately, now there’s a Web site called, “Common Cents™,” spon- sored by State Farm (www.sfcom moncents.com) that offers parents compelling ways to help their kids learn how to handle money. Through playing the interactive games and talking about financial lessons at school and at home, kids can learn good moneyhabits. @ The Website is grade-based so there is something for every child— no matter what the age or learning level. Young children can learn to differentiate between wants, such as toys, and needs, such as school supplies. At a slightly older age, kids learn about managing their own money to achieve goals. Middle school children have the chance to run their ownfictitious virtual business, which gives them the chance to learn the basics of business budgeting, including income, expense andprofit/loss concepts. High-school-aged kids can learn advanced techniques in long-term money management, investing, saving and risk management. In addition, a parents’ guide with at-home activities providestips on talking to children about everyday money matters from managing an allowance to handling earnings from an afterschooljob. “The State Farm ‘Common Cents’ program is a significant resource that will help advance the field of economic education,” says Joseph Aguerrebere, President of the National Board for Professional Teaching Standards. The program was developed with the National Council on Economic Education and National Board Certified Teachers serving as content reviewers. No matter how youstart talking with your kids about money,start early, demonstrate good money habits by your example, and keep an opendoor dialogue going in your household about money and smart financial habits...it will go a long way toward helping your children become financially responsible adults.
