How is Financial Literacy important for Children? Every Parents should aware about it

Children are the future and we as a society have to do everything in our power to ensure that they are successful. This includes ensuring that they have the skills necessary to survive in this modern world. One of these skill sets is financial literacy which can be defined as the understanding of how people, businesses and governments manage their money and what it means for them. It also includes being able to use this knowledge effectively when managing your own and others finances.

Financial literacy among children is an important indicator of whether they will be able to survive and thrive in our complex world. It is an especially important skill to teach children well before they become adults. Parents can teach their child about money managementand can continue to teach them when they become adults and they also need to train them on how to handle money in adulthood.

1. Practice of saving money :

Practising saving money from a young age is one of the best things that you can do for your children. It will give them a head start when they finally do get a job and develop the good habit of saving rather than spending. This is one of the things that many people struggle with as adults. By teaching them how to save money now, you are setting them up to be able to get better jobs and possibly even start their own businesses down the road when they are adults. This will help them develop good financial habits over the course of their lives.

2. Emotional intelligence :

One big part of financial literacy for students is having a high emotional intelligence. This means that your child will be able to recognize his or her own feelings, understand how those feelings impact both their decisions and others around them and then work consciously towards satisfying those feelings in healthy ways that still leave room for the feelings of others. Having this ability will help your child to form healthy relationships both with others and with their own lives.

3.Manage personal finance effectively :

Financial literacy can also be used to teach your child how to manage their own money. This is important because as they get older and start to develop both a job and their own money, they will need to understand how to do it effectively. They will be able to develop good habits of saving money and spending responsibly. This will help them make better decisions in the long term and also help them avoid bad financial choices that might not benefit them in the long run.

4. Build a healthy financial future :

Financial literacy can also be used to teach your child how to think about their long term financial futures. This is especially important because many people have trouble seeing beyond themselves in terms of money. This can lead to poor financial decisions and a lack of planning. By teaching kids about money to see their financial futures as part of a whole picture that they need to take good care of, you are helping them develop better habits of saving and planning for the future.

Upsurge is a platform specially designed for kids and young people. It provides education and guidance to help them unlock the power of their money. It also provides access to financial counsellors who can support young people in their journey towards financial independence. The goal of Upsurge is for students to become financially literate by the time they finish secondary school.