MidlifeInheritance and windfalls. There may be money from a home sale, inheritance or insurance payment. This is a great chance to pay off high-interest debt such as credit cards or auto loans. It is also a good time to fully fund an emergency account -- six months of household income -- and put more money into a retirement account.
Teach children about finances. Children learn attitudes about money from their parents, so a good example should be set for kids on saving, spending wisely and charitable giving. Parents should take them shopping and show them how to compare prices, find good deals and walk away from a purchase because the price is more than you can pay. Open a bank account in their name and let them make deposits into their own account. Show them the interest they earn each month on their statement. Give them an allowance and let them make their own decisions about this money, paying for their own toys and games. This also gives them a chance to make mistakes with money. Help them understand that once money is spent, it is gone.