Making children financially responsible

Being a major influence and role model for their children, parents should be conscious on how they spend or talk about money around little ones.

Experts share some tips for grooming your children into financially responsible adults, but bear in mind that these should be done within the context of a learning game rather than mandated rules, or indicating that money is something to be anxious about.

n Go slow on the pocket money and presents. In Dubai, where incomes can be extremely good, it can become too easy to spoil your child, observes Natalie Storey of Acuma. "Instead, why not give them tasks to do to earn the money or presents, like washing the car and doing other house duties," she says.

n Set up a savings account for your child which you can both contribute to. If a child receives money during special occasions, encourage him to put the money aside for the savings account. "If you, as the parent, have good financial habits, keeping to a budget and saving money, your child will learn that this is what they should do," Storey says.

n Start a children's plan. This will allow you as the parent to save for your child's future. "The policy can be used to provide an education, a deposit on a house, or to set up a business. Ultimately, this will start them off in good financial habits," Storey says.

n Involve your children in financial matters at a smaller scale, although they don't need to know all the difficulties or anxieties you're going through. Annie Crookes of Heriot-Watt University suggests taking them along for the weekly shopping where you can make a game out of having to stick to a budget and get them to think about the trade off between buying more expensive items and missing out on others,

n Encourage your children to save for larger purchases or plan ahead on how they intend to spend their pocket money. "Our money behaviour, as well as having deep-rooted attitudes and psychological aspects, is learnt and habitual as well. So, getting children to plan ahead with their pocket money, to decide what they will need to spend it on and therefore how much they have to spare, and having them save for larger items, all of these can become good habits for later in life," Crookes says.