How Do You Teach Money Management Skills?
You can use several techniques to teach money management skills. List all of the benefits associated with sound money management along with the pitfalls you can encounter if you don’t utilize your money-management skills. There is a chance you could find yourself in so much debt that it could lead to other problems. There are several organizations that provide classes to help you manage your money more effectively and efficiently. Put together a mock budget to help someone understand her own personal financial situation. List the income and assets as well as any debts and regular expenses. The budget should show someone how to effectively allocate money to specific expenses and how to stay within the budget. Discuss the dangers of using credit cards excessively. You could go over your limit and incur extra fees and pay excessive finance charges. Explain the need to pay the balance in full every month. Credit cards can lead to other expenses, such as late fees and higher interest rates.
