We're all very much aware of the global financial crisis going on and its effects on us and our families. Retailers are reporting a record low for sales this year because everybody is trying to keep up with the times. It's not a very good idea, therefore to let loose our teenagers out on the mall with their credit cards as this could be disastrous to your family's finances.

As parents, you have to make your children understand the value of money, especially these days when people are really struggling to keep up. Luckily, here are a few ideas to get you started on your penny pinching lessons for you and your whole family.

Teach them that money is the product of hard work and must not be taken for granted. If you have older kids, try and convince them to work or start their business in Rhode Island craft shows. If your kids are a little younger, try giving them simple household responsibilities and then reward them for a job well done. Believe it or not, children tend to value money the worked hard for more than money they receive for doing nothing.

Save up. Why don't you try and discuss to your kids what it's like to have a bank account. Tell them all about the benefits like how the bank's interests make their money bigger while being able to save for something they might want for the future. You can also try and have them begin their own college fund as early as today, as well.

Budget. Budget. Budget. There really is no underestimating the value of a great plan and a budget is just what your kids need to put all their spending in perspective. You can teach them how to do it, or join them in doing it by doing your household budget together with them. It's not the best family bonding idea, but you'll never know, right?

The rewards of having children who handle money responsibly is a lifetime of confidence that they would always find this necessary aspect of life as something that they don't have to worry about. There's no problem in being able to save up, especially if it teaches your kids responsibility.