Junior Finance

Finance and Management for Kids

We all should Introduce the terms Finance and Management to our kids. You must think, what I am writing ! Is it easy to understand these two terms for kids of age between 5 years to 10 years ? Answer is a big Yes. It is even very easy to teach them the concept of Management and Finance provided you should know the right technique.

A child of 5 years age can understand both the terms easily provided we just link both these terms to something they used to see in there school or home. We can make our children aware about Term Management with the Example of "Library".

Let us understand the term Management first with the Example of Library. Our children used to visit Library in the School, or we can link it with the Almirah which they have seen in the home. We just need to inform our children as below-
  1. Library is a place where we have seen many type of books, for instance Hindi, Mathematics, English, Literature, Religious, etc.
  2. All the books are kept in separate rack or bin as per the subject and language of book.
  3. By separating books, users can easily find and search the books whenever required.
  4. That's it ! This is the concept of Management. Management is about managing the things perfectly so we can find or use them whenever required.
For Children, they learn how to manage there toys, books, stationery, etc items perfectly.

You can now link this example with the Almirah also which our mother uses to keep clothes arranged in different sides. We should use such examples because our kids see this often in school and home.

Now, let us understand the term Finance and make our children ready since there childhood to make them understand the value of Money in the life.
  1. We used to take our children with us whenever we go to the market, for buying toys, to stationery shops, to buys confectionery or chocolates, etc.
  2. Our children use to see us paying some money to the shopkeepers.
  3. Just tell them that Everything we have in our home is bought from this money.
  4. "Shopkeeper Uncle" will only give things to us when we have money.
  5. Hence we should spend our money wisely, when needed only.
When relative visits our home, they used to pay some amount as "Aashirward" to our kids and we should tell them to save this money in Piggy Bank. If your child is active and understands above things easily, you may ask him to prepare a summary of monthly collection and use of money. They can find the total amount received from Relatives and Family on a paper and used amount on other side. With this, kids can understand how to manage the money.

It will also help kids to improve there mathematics and help them understand the relevance of Management and Finance. It is a small step but can be a strong foundation for your kid in the field of Management and Finance. It will help them in building the interest in the area of Management and Finance.

Happy Learning !!!

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