Saturday August 3rd, volunteers from the Dallas Wings and JPMorgan Chase gathered at the Oak Cliff Branch, excited to support community members as the new school year commences.
The Dallas Wings brought the entertainment with face painting, board games, crafting tables and of course a few basketball hoops for the kiddos to practice their jumpers.
Inside of the Oak Cliff Branch, many community members took the opportunity to receive financial literacy from Chase bankers. The room was at capacity with community members at full attention on the successful pillars Chase provided with education on financial freedom.
It’s never too early (or too late) to teach your kids about finances. Remember, the kids are always watching. Back-to-school shopping is the perfect time to role model good money habits. The key is to start early, keep it simple and be consistent.
There are three lessons you can teach your child while back-to-school shopping.
- Introduce budgeting
- Lay the groundwork for saving and earning
- Use the right tools
Introduce budgeting
As your child grows, their financial needs also evolve. From being involved in more extracurriculars, heading to the mall with friends, or snagging a part-time job, these moments offer an opportunity for parents and kids to discuss the basics of budgeting. Back-to-school shopping is the perfect time to model good budgeting behavior.
Start with a budgeting worksheet and keep things simple by bucketing funds into two sections: income and expenses, which then helps your child differentiate “wants” from “needs” as well as see where their money is going.
- For example, your child may want the newest pair of sneakers, but they need to get a new backpack. This skill is crucial to master as they begin managing their own finances.
- Have fun with the budget! Once the needs are taken care of, indulge in wants. Let your child choose how to spend $20 their way. Teach them about tradeoffs – they can spend the whole $20 on one item or get a few small things.
It’s important to remind them not to spend more than they earn. If their expenses exceed their income, discuss how to prioritize costs and how to cut back on spending.
- For example, you can discuss the impact quality and branding can have on price such as generic vs. name brand.
Lay the groundwork for saving and earning
Once your budget is set and your child understands what remains, it’s time to discuss setting a savings goal for some of those wants. Whether it’s weekly allowance, birthday gifts, or earnings from a neighborhood yard sale, teaching kids to track and save their money is key to developing good financial habits.
- Craft SMART goals – is it specific, measurable, achievable, relevant and timely?
- Set a weekly savings plan
Chase offers the tools and resources to make saving easy including Autosave, which allows you to set up automatic monthly transfers from your Chase checking account to your Chase savings account. All managed through the Chase Mobile® app, parents can help their child set a savings goal to ensure they build a strong financial foundation.
Use the right tools
It’s important to establish money management skills – help kids “tell their money where to go”
Digital banking apps are as helpful for students as they are parents, so take advantage of them.
- For example, the Chase Mobile app allows you to view account balances at any time, helping students track their spending and saving habits, while also using Zelle® to send and receive money.
Be sure to check out the options your bank provides for student accounts.
- Chase offers Chase First BankingSM, Chase High School CheckingSM and Chase College CheckingSM. You can go online and learn more to determine which account works best for your child.
