Developing financial capability is an important part of preparing for the transition to adulthood. Financial capability is “the capacity, based on knowledge, skills, and access, to manage financial resources effectively” (Department of the Treasury, 2010). In other words, it is the ability to make wise decisions about using and managing money. Families have an important role to play in young people’s development of financial capability. Financial knowledge and habits developed in the teen and young adult years can have a lasting impact on their future.This brief for families provides suggestions and resources on how to talk with youth about money and assist them to learn and practice financial management skills through their interactions at home.
Source: Developing Financial Capability Among Youth: How Families Can Help | NCWD/Youth