You only need to look at the financial news to see that more and more people are in ever increasing amounts of debt. Debt that it looks unlikely will be able to pay. Unfortunately, this is becoming a normal part of adulthood, with current teens living in a world with constant offerings of credit.

As an adult, it can be hard to resist the temptation or to manage your money well enough, let alone for a child or a student who is new to money. If you have children in your home, below are two great ways which you can use to teach them the value of money and help them to be more financially responsible.

Show Them How It’s Done!

While you might not think about it, the work that goes into managing your monthly budget is remarkably beneficial for your children to see at a young age. This is largely in part because you can provide them with real world financial examples with are directly related to themselves.

The next time that you sit down to allocate your monthly finances, encourage them to join you and pay attention to the value of money and what items cost the most. While you might not give a second thought to the savings which you get from using sites like the Groupon Coupons page for Macy’s, learning how to save money on regular purchases in a valuable lesson for any child.

Additionally, don’t be afraid to go into detail with them about how you can save money by buying items in bulk and by looking for specials and catalog deals. If they are of the age, encourage them to get involved and look for ways to further reduce your grocery bill.

Education, Not Fear

There was once a time where, if you wanted a line of credit, you had to go out and search for it. Nowadays, you just have to open an envelope in your mailbox to be offered lines of credit beyond your means of repayment.

Now, while you know the dangerous trap this can be, your children won’t learn unless you tell them.

As these offers arrive, open them up with your children and talk them through the details. Show them the fine print, how the percentage of interest change, along with any fees which aren’t mentioned on the flyer. These tips can be crucial for them as they turn into students and look at ways to pay for college.

It is important to note that when you are showing these flyers to your children, don’t adopt an entirely negative approach. Remember that there will be times where they may need to rely on a line of credit. So instead of making them afraid of it, educate them on how to make the right financial choices if the time comes.

It can be hard for children to not see you as a human ATM. However, it’s important that they learn at a young age that money is a precious commodity and one which is hard to earn.