Start Early
Children are always interested in knowing the ways to handle money and to budget on their own. This is a grown up issue that really picks their curiosity but not all parents can teach kids about this. As a parent, you should never let your kids grow up without learning how to handle their money and go from one day millionaires to brokes after a couple of days. The best time to start teaching them to budget is when they are still young. The lessons can stay with them until they grow up. This will instill responsibility and will serve as a guide when it comes to spending or saving their money. However, budgeting is not set in stone, this should not give fear to a child that they should stick to their budget and never to underspend or overspend. they should learn that if they can stick to it and control themselves they can reward themselves with something they want or need.
Let your children work up their own budget by setting an allowance to help them make smart money decisions. Budgeting should be a valuable experience and learning for them. Though it can be frustrating, it can also be very rewarding. Younger kids will be able to budget smaller amounts and in shorter periods of time compared with the older ones. So start with a weekly frame such as during school days to weekends. As they grow older, you can set longer and let them handle their budget for the week or a month.