Teaching begins in the home. That`s an understatement. But, do most parents take the time to teach their children about money and how to handle it properly? Unfortunately, the answer in many cases is ˜no.` This causes all kinds of problems for the adolescent when they are put into the position of having to make their own decisions on what to do with their money.

Here are four basic lessons you need to teach your children BEFORE they walk out the door for good. They need to learn these lessons at least in high school.

Checkbook Basics. You would be surprised at the number of kids who do not understand the basics of writing every expense down in a checkbook register. They are so used to seeing credit card activity, that they probably do not even recognize a checkbook. They need to know how to keep it current and live off of the balance after their entries have been updated, not the amount that the online bank website says that they have. Also, they need to understand how to reconcile it every month. This is not difficult, but it can be time-consuming for them until they get the hang of it. Also, keeping a checkbook is a good way of seeing where their money is going. It can be an eye-opening experience to see how much they spend on frivolous items.

Credit Cards. It is going to be hard to keep kids away from credit cards. Especially if they are entering college. But, first, they need to learn the evils of having and keeping a credit card. The hidden charges, the high interest rates, the questionable practices that credit card companies use to try to entice and keep them as an indentured ˜servant.` If it is necessary to use them, then they must be taught how to use them responsibly. If you are paying the bill every month, you need to know when they are used and for how much. Making them accountable is not a bad practice, it is a good practice that they can use for life.

If you have high interest credit card debt, consider moving the balance to one with a lower rate, with a 0 apr balance transfer or a no fee balance transfers.

Credit Rating. They need to know what a credit rating is and why it is important to their financial future when it comes time to obtain a loan for a car or a house. They should know that they need to protect it as much as possible by paying bills on time. They need to know the consequences if they do not.

Savings Account. Finally, each child should understand the importance of a savings account. They need to know the purpose of a savings account. They need to understand the concepts of long-term vs. short-term savings. A primer in retirement planning would be a good lesson for them to learn, also.

Too many kids learn the hard way through trial and error. Do not allow this to happen to yours. Find opportunities to teach them and prepare them to be good managers of their money.

If you need some resources for anything about finance, anything from 0 balance transfers to Zig Zigler, there is a non-profit organization and website called ˜Jump$tart` that is dedicated to helping to improve the financial literacy of our children. You can find them at: www.jumpstartcoalition.org.

Also, you can look up this book: Raising Money Smart Kids: What They Need to Know about Money and How to Tell Them (Kaplan Publishing) by Janet Bodnar, Deputy Editor of Kiplinger`s Personal Finance magazine.