How Can I Teach Financial Discipline To Children?

Through good old Piggy bank. Here's how:

1. Give them some allowance every week or month and ask them to put it in their piggy bank or some box with a lock.

When they want to take out money to spend on something, ask them to wait for a moment and think:
Is it really necessary?
Can they postpone it or say no to spending without suffering any lose?

Once they reach decision, let them do what they feel is right. If they feel it's important, let them take out the money for what they want.

2. Keep Track: Ask them to make note of how much money they have spent and on what by writing in a diary or typing it out in a spreadsheet on a computer.

3. Saving: The money that remains in your children's piggy bank or box at the end of the month is the money they have saved. Impress upon your children that they should NEVER empty their account. Some amount of cash should always be there in your children's bank.
You can further encourage your children's saving habit by giving some extra cash allowance when they save more.
Developing the habit of saving money in children is important because nowadays, young people are saving less, spending more and landing in financial tight spots. Thanks to excessive marketing onslaught by the media.