In a report released by AMP NATSEM, entitled Little Australians, household financial health affects the overall development of a child. In families with at least one type of financial difficulty, 20% of the 4 and 5-year-olds were reported to have low learning and social-emotional development.
In order to avoid financial difficulties that might effect your child’s emotional development, here are a few easy yet effective approaches to follow.
First thing, a checklist on your financial health is a must and a household budget is a pre-requisite. To help distinguish between wants and needs, use an online budget tracker. Another effective strategy is to tackle credit card debt aggressively. Lastly, have a savings plan for your child’s education. Stay away from instant financial strain at the beginning of the school year by setting money aside ahead of time.