Financial Literacy – Learn to Earn
The first step for kids to become financially literate is understanding how to “earn”.
To become truly financially responsible, you need money to manage. But the concept of “earning” is not only for teens that can get an outside job. Kids as young as four or five can learn to earn.
The concept of earning is more than just about money. Earning is about understanding effort and action = reward.
You earn grades, you earn awards, you earn respect, you earn trust, you earn privileges. This is something that very young children understand, and the earlier they gain the aptitude to earn, the better off they will be financially.
Let me explain…
Follow this train of thought… When kids “learn to earn” it becomes part of their character.
Their character will play a role in their work ethic. Their work ethic plays a role in their money earning potential. When they have money, they have something to manage.
Which will bring us to the other concepts necessary for financial literacy – spending, saving, and budgeting (coming soon to a blog near you!).
So you can see, learning to earn is the first step to becoming financially literate. It doesn’t start with money, but the readiness to “earn” is a skill that will get you there.