Studies have long shown that if you want a child to master a specific skill set, language, or talent, then early exposure and training is key. For example, a child learning a second language should be immersed in it as early as possible, since it only becomes harder to learn a new language as you age. The same is true when it comes to teaching kids about money and personal finances. If you want them to make smart choices about money and finances as an adult, then it's critical to teach them at a young age and to model wise decisions yourself. Today's Aegis blog post looks at three things parents can teach their kids about money to give them a better head start in adulthood.

Importance of Both Saving and Giving

One of the most significant lessons parents can teach their kids is the importance of saving money on a regular basis. At an early age, children can learn a wealth of information about saving, such as how compound interest works, how to open and manage a savings account, and how to set financial goals. Additionally, children can learn at an early age the joy that comes with giving a portion of their money to worthy causes and charities.

Dangers of Debt

Parents can also give their kids a solid financial start by teaching them early about the dangers of debt and its lasting impact on their future finances. Each year, thousands of college students across the U.S. sign up for credit cards while at school and rack up debt they can't pay, simply because they were never taught how to handle credit. Many discover the hard way that their bad credit card debt follows them through adulthood and negatively impacts their credit score and ability to become homeowners, apartment renters, car owners, or make other major purchases. Teaching kids early about debt can help them make smarter decisions for how to manage their money and handle credit responsibly.

Benefits of Insurance Protection

Finally, children can learn early from their parents the benefits of having insurance protection for their home and assets. As much as we'd like to avoid them, there are always life events or disasters that impact families and their personal property, whether it's a fire, theft, natural disaster, car accident, or even a death in the family. When families have quality insurance protection, such as Homeowners, Flood, or Life Insurance, children can see firsthand the stability and financial protection that comes with insurance coverage. Children will grow up to appreciate the value of insurance and protecting their property and loved ones with quality coverage.

Aegis is pleased to support Texans and their families by offering a full range of Personal Insurance solutions, including Homeowners, Renter's, Auto, and Life Insurance. For more information or to receive a free quote, call the Aegis office at 713-850-7622 or complete our online form.