We have a 15 year old son who is very frugal and wise with his money. He looks for ways to save money, and it frustrates him to no end when he sees his friends blowing theirs or their parents’ money without a care in the world. We also have an 8 year old son who would spend every dime he had on frivolous things if we let him. If it’s in front of him and he likes it, he wants to buy it, regardless of whether it’s a good deal or not.
Every child has a natural bend towards how they spend money. But every parent has a moral responsibility to teach their children how to use money in a God-honoring way. The Bible is very clear that money and a love for it has the potential to ensnare people in a life of materialism and insignificance (Luke 12:15-21), blind people to the truth about God and salvation (Mark 10:23-27), and develop deep roots of evil in their hearts (I Timothy 6:9-11).
A wise parent will strive to help their children understand how to use money, not abuse money. Because just as much as money can be used for evil, it also holds tremendous potential to be used for good in the right hands.
A wise parent will also understand that good stewardship is both caught and taught. Our children are learning about money through both our words and our actions. And through both, we are setting them up for a lifetime of success or failure in this area.
Here are 5 important money principles that every parent should teach their kids:
1) LIMITED RESOURCES. When kids are young, they think that money grows on trees. I used to think as a child that mom and dad had freedom to buy anything they wanted simply because they had a checkbook. From the youngest of ages, it is important to help our children recognize that because what we have is limited, we are to be resourceful with what we have been given. To say yes to one thing will always require that we say no to something else, so we must choose wisely.
When they were filled, he said unto his disciples, Gather up the fragments that remain, that nothing be lost. John 6:12
A man’s life consisteth not in the abundance of the things which he posesseth. Luke 12:15
3) WORK ETHIC. We are raising a generation of many kids who have never known what it means to truly work. And so when they leave home, they have an attitude of entitlement that leads to a life of great disappointment when they have to face the real world where mom and dad are no longer providing for their every need. This is one of the reasons why many young people are still living at home into their late 20s and 30s. Teach your children to work hard from a young age, and many of those things will take care of themselves.
The soul of the sluggard desireth, and hath nothing: but the soul of the diligent shall be made fat. Proverbs 13:4
4) GENEROSITY. Nothing is more admirable than someone who has an attitude of gratitude, especially a child. Because those who are most grateful are also those who are most generous. When we teach our kids to be thankful for what they have, we inadvertently teach them to be generous with what they have as well. Generous people are happy people. Because generous people are grateful people. Kids can learn to give to God and to others generously. And they’ll learn this most through your example. Encourage your children to follow this simple pattern with their money – Give. Save. Spend. In that order.
He that hath a bountiful eye shall be blessed; for he giveth of his bread to the poor. Proverbs 22:9
5) STEWARDSHIP. The greatest motivator for handling our money wisely is found in knowing that it is not ours in the first place, and that we will one day have to give an account for its use. Help your children to understand that everything they have has been given to them by God. A great way to illustrate this is to give them 10 pieces of candy (or money), then ask them to give you one back. It’s not hard for them to give one back to you when they realize that you gave all ten to them in the first place. The same is true with how we should view our stewardship towards God.
Moreover it is required in stewards, that a man be found faithful. I Corinthians 4:2
By helping your child to believe and practice these 5 simple money principles, you can set them up for a lifetime of success with their money and their influence. Imagine how much could be accomplished for God’s kingdom if the next generation understood and practiced all five of these biblical principles. (Or even better yet, imagine how much could be accomplished for God’s kingdom right now if you and I currently understood and practiced all of these principles ourselves.)
