Below is a guest post from Emily!
The holidays are a time of good cheer, time spent with family and friends, decorations, and relaxing from a hectic year. Unfortunately for our wallets, it’s also a time of deals, sales, and a last push to get all of our loved ones gifts for the holidays.
It can be easy for kids to see this indulgent behavior in their parents and family and think that they, too, should grow up and splurge on holiday gifts for their family and friends. However, by demonstrating smart budgeting habits, we can set our kids (and ourselves) up for success when it comes to gift giving around the holidays and birthdays.
Through utilizing the cash envelope budgeting system, you’re able to plan ahead and save money to give gifts to loved ones, while removing the temptation to overspend or be blinded by deals while gift shopping. Essentially, the cash envelope budgeting system is where you fill an envelope with cash for a specific purpose: such as holiday gifts, a vacation, birthdays, or anything else you may be planning for.
To model good budgeting practices for kids, use these printable cash budgeting envelopes to put aside a certain amount of money together for shopping for holiday gifts. You can do this holiday activity as a family, and contribute a few dollars each every week. Once you reach your goal (or meet your savings deadline), you can go ahead and spend the money on that given purpose.
For more financial literacy resources click the image below.
Our books are available on Amazon, “Teach Your Toddler to Read Through Play,” “Fun Easy Ways to Teach Your Toddler to Write, and “Teach Your Child About Money Through Play.“