Children need to learn the value of money so they can cope in the real world.
This is the suggestion of Susan Newman, author and a parenting and relationship expert, who noted kids will face financial decisions throughout their whole life.
As a result of this, understanding "how to earn, save and spend is an essential tool", she added.
The expert observed mums and dads should begin educating their offspring once they are able to add numbers together.
In terms of showing kids the importance of cash, pocket money is one tool that can be used to demonstrate how they can only purchase items they are able to afford.
"Saying no is an excellent lesson, but how parents approach money and their own financial values are a child's greatest lesson," Ms Newman stated.
Growing up, children will look to their parents as their primary role models and so it is vital that good saving habits are instilled in them from a young age.