Even children are now worried about their finances - here's how to make them more money savvy

Many adults worry about their finances. While some struggle to make ends meet, others who are surviving are likely to have concerns about saving, investing and rising bills.

However, these worries also extend to children. Almost half of under 14s say they are stressed about their financial futures, according to research from KidsKnowBest.

In fact, a quarter of children aged between seven and 14 said they are specifically anxious about their basic needs being covered.

As a result of this, some 55 per cent of kids said their happiness is affect by money, with two in five saying money causes them stress.

This is despite the fact that only 60 per cent say they understand money. One respondent told KidsKnowBest: 'I know how to save for Lego but not what a budget is.'

Ann Pettifor, economist at Prime Economics, said: 'Money is something we invented as a human society to enable us to do the things we want to do, so children should really understand it.'

'Kids need to be sat down and have things carefully explained to them.'

So far though, financial education isn't going far enough.

As many as 84 per cent of school age children say they want to see financial education included as part of the Government's new national curriculum, according to figures from GoHenry.

Financial education is currently only legally required in government-maintained schools, meaning four out of five schools don't have to offer it.

As a result, kids are growing up reliant on their parents and peers to learn about how to manage their money, with as many as 72 per cent of children said their parents are their main source of financial education, according to GoHenry.

However, not every parent is confident in passing on useful financial information to their children, especially if they don't have a full grasp of it themselves.

Joel Silverman, chief executive of KidsKnowBest, said: 'The care-free childhood many adults will have enjoyed is now a distant memory.

'Our comprehensive research shows that children can't be divorced from the anxieties their parents may be feeling in a world of financial insecurity, and continuing cost of living pressures.

'Yet, critically, this anxiety isn't shutting them down. Instead, it's sparking a deep curiosity and a hunger for practical, human-led learning about money.'

The figures from KidsKnowBest indicate that children overwhelmingly want to learn more about money.

Nine out of ten said they want 'real-life' money lessons over digital sources, with 47 per cent wanting more form schools, but 67 per cent waning to learn more from their parents.

KidsKnowBest is calling for the financial sector to do more to educate young people, in the hope that 'by providing accessible, relevant, and practical financial education, we can empower this generation, transforming their anxiety into informed agency and building a more financially resilient future.'

Read More

Parents, unsurprisingly, are the main source of money advice and guidance for children.

After all, it is their parents they see saving, spending and budgeting day to day.

As ever, financial education starts at home.

With the stress of parenthood though, it can be difficult to ensure that your children get off on the right foot with money.

The key is to start sooner rather than later.

Children begin to build financial habits as young as seven years old, to it is important to make sure that they are learning the right things from an early age.

Louise Hill, founder of GoHenry, said: 'It's really the sooner the better when it comes to talking to kids about money. Approaching these topics can seem daunting, but the truth is, they don't have to be formal - you can have fun with it!'

To do so, you can build money lessons into your everyday, making it something engaging and exciting for your children.

Hill said: 'During your weekly grocery shop, you could turn it into a game - challenging your kids to find the best-value product while sticking to a set budget.

'It keeps them engaged and helps them build money skills they'll use for life.'

Likewise, one of the best ways of engaging your kids with money is to allow learn by actually using money.

Giving pocket money might sound like an expensive endeavor, but it isn't really the amount that matters.

Even giving your children a small amount, such as £1 per week, introduces them to the concept of budgeting, saving and spending only when they can afford to do so.

Hill added: 'For parents, giving regular pocket money is an easy way to introduce kids to budgeting, spending responsibly and saving.

'It's not about how much you give, but about being consistent - that's what helps kids build good money habits and start recognising the difference between wants and needs.'

Becoming familiar with money is what can help kids to manage it better in later life.

Many parents might have grown up with money as a taboo topic, or at least one that wasn't often discussed within the family, but now, with children increasingly learning financial information from social media, it is important that parents prevent them from taking the wrong advice.

Hill said: 'Growing up with social media, kids are surrounded - and sometimes pressured - by messages about money, from debt and credit cards to buy now, pay later schemes.

'This is why it's important to make money a topic kids feel comfortable asking about around the dinner table.

'Ensuring these conversations are familiar from an early age will help kids understand money, rather than worry about it, and put them on the right track for when they come to manage their own finances in adulthood.'