[Message from the Principals] Electronic money may impact children's concept of money

It is never too early to teach children about money management, especially in the age of electronic money. Since children have less opportunities to handle cash nowadays, they tend to spend more impulsively and lack a clear concept of money management. As such, it is important for parents to cultivate the correct money values and behaviour in their children as early as possible.

How to teach children about money management? Chu Tze Wing, Principal of St. Hilary Primary School, and Chan Shuk Yee, Principal of Yaumati Catholic Primary School (Hoi Wang Road), suggest that parents can make use of opportunities from everyday life to encourage children to act responsibly on money matters.

For example, when children use electronic wallets or other electronic payment means, parents can review their spending records together and discuss which purchases are "needs" or just "wants" so as to identify unnecessary expenses.

Shopping with children is also a great time for money lessons. Parents can bring their children to supermarkets to find out about the prices of different products, encourage them to compare prices, talk to them about what to look out for when shopping, and even teach them about different currencies and money counting to become a smart consumer.

In addition, parents can encourage their children to achieve goals by saving for their purchases, they can learn to distinguish that their parents will buy what they "need", while they should save money to buy what they "want". This approach will help children understand that money does not come easily and should be spent prudently.

Christmas is also a great time to teach children about money. Parents and their little ones can take part in the “Santa Challenge 2020”, organized by the Investor and Financial Education Council and supported by the Education Bureau. The Challenge encourages parents to assist their children in setting and achieving various gifting goals, while through such activities, little ones learn to make action plans, share love, and reflect on the true meaning of Christmas. The interactions and discussions between parents and their children can help to instill correct concepts of money and spending. Join the challenge now before it closes on 15 January, 2021.

Event Details: www.ifec.org.hk/santachallenge