Parents need to lead by example in teaching their children financial literacy, according to a Brisbane academic.
It comes after a survey of high school students from around the country found most were confused about credit cards and how to calculate repayments and interest rates.
There is growing concern that increasing moves toward a tap-and-go cashless society will lead many young people into a financial crisis from overspending.
Dr Gupta, a father of two, said children needed to be introduced to the topic of financial literacy in primary school.
“When they are able to read, write and count is when we should look at talking about money,” Dr Gupta said.
“Financial literacy is very important and everyone should have an understanding of it, because it can have long-lasting effects on your life.
Griffith University senior lecturer in financial planning Dr Rakesh Gupta has compiled a list of five tips to help children grow into financially responsible adults.
Dr Gupta’s five top tips for parents:
- Lead by example.
- Talk about money in a positive manner.
- Do not make money the end goal.
- Be realistic. Do not expect children to have the financial literacy of an expert.
- Teach why financial literacy is important.
– Kathy McLeish, ABC News
Photo Source – ABC News