Money is topic A in local news local and network news and talk shows. As a result, it's a wise idea for parents to have "the talk" about money and personal financial management with their children.

"Children are listening when we talk about money," says Laura Fisher, American Bankers Association's Education Foundation director. "With the ‘economy' as the new buzzword, it is the ideal time for parents to talk money with children. But parents need to do more than talk; they need to be real life examples of responsible money managers for their children."  

The ABA Education Foundation suggests parents use these guidelines to initiate a dialogue on personal finance.

Open up a savings account at your local bank for your children and take them with you to make deposits, so they can learn how to be hands-on money managers.

Talk openly about money with your kids.  Communicate your values and experiences with money.  Encourage them to ask you questions, and be prepared to answer them – even the tough ones.

Explain the difference between needs and wants, the value in saving and budgeting and the consequences of not doing so.

Set up a chore chart and give your children an allowance for completing their tasks.  Require them to save at least a small portion each week.  The three jars method, one for spending, one for saving and one for charitable contributions is a good way to impart a sense of responsibility.

Be an example of a responsible money manager by paying bills on time, being a conscious spender and an active saver. Children tend to emulate their parents' personal finance habits.

For more personal finance tips, visit the ABA Education Foundation's Web site at  www.abaef.com.