Teaching Kids to Evaluate Purchases

A key strategy for instilling financial responsibility in children is teaching them to evaluate their purchases effectively. The 'Does It Make Sense' (DIMS) score methodology developed by Karen Holland helps kids assess the true cost of items before buying. This simple tool encourages children to consider additional expenses, such as sales tax and transportation, which often serve as hidden costs in family budgets. By using the DIMS score, parents can facilitate discussions that illuminate the reality of spending, leading to better family understanding and harmony.