Hello Readers!
Parenting is the most difficult task of the life; I mean it is very much necessary to things or lessons that you are teaching your child to grow up with. And this task become much crucial when you are preparing yourself to teach financial lessons to your child.
Today’s urban teenagers are given financial security on a platter. Parents ensure that their child must get all the elite facilities, means a proper house to live in, expensive toys to play with, and others. This scene is much popular in nuclear families with large incomes. They make sure that the next feels much comfortable when it comes to have a financial cushion.
If we talk about your parents teaching you financial lesson, then you must remember how your mother taught you that spend only for your needs, that too only after saving a good amount of your salary. Moreover, the last three decades have seen Indian middle-class rise in terms of earnings and wealth. They have focused more towards creating wealth for their future big goals, rather than concentrating on spending their salary.
While the previous generation was taught that saving is a must, the next generation who inherits the wealth also needs to be taught about wealth management. It is must for a parent to not only pass the wealth that they have created, but to also pass the money wisdom to the next generation.
Teach Them The Importance Of Growing Wealth
Saving and investing are two different scenarios, and both are necessary for the growth of wealth. Being a responsible parent, you must clear the differences between the both and make then understand that money is not just to be saved but also invested.
It’s not difficult for your parent to open a bank account or get a piggy bank and start saving money there. Here your child has a though that they can use the money in the saving bank account any time they want, and they can ask you for it anytime. However, you need to make your child understand the true meaning of saving, not only this you need to move a step ahead and talk to them about meaningfully use of the money that they have in their bank account. This means investing.
Freedom Of Choice That Comes With Financial Security
A comfortable life, when you don’t need to worry about any kind of responsibility, opens up wide choices for you. When your children get that complete financial security from you, they must understand the value of their time, and utilize it organically for making their career bright. They should also understand that this gives them the ability to really select what they want to do with their time.
Your child must utilize this time in making the right choices for their career. Instead of chasing career options or profession with high salaries, they must go with career options they are passionate about.
It is much necessary to understand eth importance of saving and investing, but it is bit difficult to make these things learnt to those who have not faced any scarcity or frugal living. Moreover, we try to teach savings while providing the child with all material comforts; there is an experiential disconnect.
So basically, you need to put some efforts and also you need to put a full stop on your habit to making things available on one call of your child. Simply give them the comforts of living, but teach them to use it for the most efficient outcomes.
For any kind of query, you can contact us at Shri Ashutosh Securities Pvt Ltd., we are here to help you in any way possible.
Happy Investing!
(Mutual Fund investments are subject to market risk Illustrations are for example only, there is no guarantee of returns. Past performance is not an indicator/guarantee to future returns).