Dave Ramsey's Complete Guide To Money: The Handbook of Financial Peace University

by Dave Ramsey

1. Work. Money comes from work, not from other people, the government, or dumb luck. From an early age, your kids need to feel that emotional connection between work and money. That’s why my wife and I paid our kids commissions, not allowances. You work; you get paid. You don’t work; you don’t get paid. It’s true for parents—it should be true for kids. 2. Save. Teach your kids early on how to save up for purchases. If they learn how (and why) to save up for a Barbie today, they’ll know how (and why) to save up for a car or house tomorrow—with no debt. 3. Spend. Let your kids have some fun with their money and experience the awesome feeling of buying something they want with money they saved. If you keep it all in the piggy bank and never let them enjoy it, they’ll either grow up into miserable old misers or they’ll rebel and become crazy, debt-ridden spenders once they hit college! 4. Give. Giving is the most fun you can have with your money. Nothing beats making a waitress’s day with a $100 tip out of the blue! Just make sure your kids give their own money. If you hand Junior a quarter to drop in the offering plate on Sunday morning, he’s just a courier for your money. He needs to know what it feels like to really give out of his own pocket.

Rules Children (and you) need to learn.