Shopping with Kids
One of the things that is hard to avoid in life is shopping. Whether shopping in-store, by phone, through mail, or via the internet, we all at some point in our lives shop. Some enjoy shopping, while on the other hand there are many who do not prefer to.
Shopping is one of the areas that kids learn early in life. However, developing a healthy and informed shopping habit does not come easy – it must be taught. Spending and saving habits, much like eating and exercising habits, are developed early in life. These are habits that are hard to break once someone develops them. Many college grad students struggle with financial literacy skills, and their knowledge about spending is overshadowed by their desire to shop endlessly without much thought about saving. This explains why many students rely on their parents, use credit cards, and student loans to fulfill their financial needs. These students also feel pressure to live beyond their means, hence often shopped more than they saved.
When kids learn and develop a healthy, informed relationship with money, they can get better at making wise financial decisions. For example, back-to-school shopping is an important exercise that children can learn the components factors to consider when shopping, including identifying and separating needs and wants, creating a shopping list, developing a budget, understanding the differences between debit cards, credit cards, and cash and their pros and cons.
Regardless of your shopping style and habit below are some guidelines that you can teach your kids;
- Take care to compare
One of the biggest mistakes a shopper can make is to not do price comparisons among similar items. Many times, it’s much more convenient to just walk in, grab, pay, and go. This is especially the case in this busy, non-stop society that we live in. However, you’d be amazed to know the money you could save by just taking a little more time to stop and compare. This also applies to comparing prices between different retailers.
- Shopping List
Children need to learn how to create a shopping list, starting with the most needed down to what they can do without in the meantime. Once the list is created, children learn how to stick to it. This will help them stay disciplined with the budget, hence avoiding impulse buying. A continuous learning process of creating and sticking to the shopping list can instill a culture of discipline in children, through to adulthood.
It is better to write a shopping list before entering a shop. Check what you need, including the quantity you plan to buy for each item. Avoid overbuying. Only buy what is listed in your shopping list. Discipline yourself.
- Utilize coupons and promotional codes
Another way to help save money is by finding and utilizing coupons. $0.25 here and $1.00 there can go a long way, especially if you’re on a tight budget. Many times, coupons can be obtained not only in newspapers or magazines, but now too, on the internet. They can then be printed out and used at time of purchase. When it comes to shopping online, sometimes discounts are offered. Instead of a coupon, most likely reference will be made to a promotional code. Utilize it. Take a couple of seconds to copy and paste this. It will save you money.
- Wait for that special price
For everyday items most people budget a specific amount to spend. However, for those occasional items that you must have, though they may seem out of your financial reach-just be patient. The truth is that whenever an item is brand new, it will remain at a high price while the demand is strong. If you cannot wait for the “fanfare” to die down, then anticipate holiday sales. This will be a good time to purchase typically higher-priced items.
- Shop on a full stomach
Now this one applies to grocery shopping. It cannot be emphasized enough. If you follow this tip, you are much more likely to save money. The way it goes is, when you’re hungry, you will be quicker to pick up “everything in sight”. But when you are full (or satisfied), you will only get what you really need.
- Be an early shopper
Do your shopping early in the day if you can. Stores usually crowd around the afternoon and evening. Not only will you have the pleasure of no-hassle, but you will also get to pick of the best. This is especially the case when it comes to fresh foods such as meats and produce.
- Leave credit cards and pay with cash
This may seem outdated, or even sacrilegious in the modern economy but the axiom that cash is king is still applicable. You save more, because when the cash is depleted, no more purchases can be made.
When credit card is used, you are tempted to use it since you realize that you can have it now and pay later. You are also tempted to buy more, as long as you are still within your credit limit.
- Make a budget for your shopping expenses
It is somewhat stressful to shop in a very strict budget so that you can give yourself a bit tolerance that will not hurt your saving’s plan.
- Don’t go shopping while on stress
Many people go shopping when they are on stress; it is like a therapeutic treatment for them. They think they would feel better after they went shopping, without realizing that what they brought home were things they did not need or sometimes even they did not want when they were in good mood.
To keep shopping smart, kids must remember that not every bargain is a good one for them. Sometimes people will place their purchases on a credit card that boasts of a low interest rate. This would be great if these people could pay the bill in full at the end of the month. If they cannot, they will actually be paying more for their purchases even if they were on sale, because the interest rate will be added to the balance.
Another teachable moment within the home is in your routine grocery store visit; use this opportunity to teach budgeting concepts to your child by showing them that you actually have conducted some planning and budgetary allocation, proportionate to your household needs and income. This basic budgeting practice will greatly aid the development of fiscal responsibility in our children as it molds them to view spending inside of earnings and eliminates the wonder most children have about the origins of money.