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You may be an excellent parent. But with regards to money and finances, you may make a few mistakes. Most adults don’t start off with perfect finances. Mistakes are common and understandable. Maybe you didn’t have a good financial role model growing up, and you learned how to manage finances on your own. Despite your background, you can avoid financial difficulties and get on the right path. To do this, you have to recognize your mistakes.

Whether you’re looking to improve your finances or set a good example for your kids. Here are five money mistakes to avoid.

• 1. Overindulging your kids

If you didn’t have much growing up, you may lean toward giving your kids whatever they want – regardless of whether you can actually afford the items. However, giving into your kids’ every request can leave you broke. It’s okay to shower your kids with gifts, but do so in moderation. Being a good parent doesn’t mean saying “yes” to everything.

• 2. Paying for services you don’t need

If you’re working and raising a family, you might hire a professional to mow your lawn, wash your car or clean your house. This frees up your time. But if finances are tight and you have nothing in savings, is it wise to pay for certain services? Evaluate how you spend your money. Let’s say you spend $200 a month on extra services. That’s $2,400 a year that could go into your savings account.

• 3. Not comparison shopping

You probably shop in a hurry. But being busy isn’t an excuse to skip comparison shopping. It only takes a few minutes to head online or check the newspaper for discounts. If you need to buy a wedding gift or a few items for the house, a search for a Williams Sonoma coupon code can save you money. Comparison shopping also makes financial sense when you’re booking travel reservations, dining out or shopping for clothes.

• 4. Not teaching kids how to save

Don’t wait until your kids are nearly adults to teach the value of a dollar. Get your kids into the habit of saving early and it’ll become second nature. There are easy ways to accomplish this. Before grocery shopping, have your kids check the newspaper for Coupons. If they have their eyes on a particular toy, demonstrate how to watch for sales and compare prices with the competition. And when your kids receive their allowance, don’t let them spend all their money at once. Purchase a piggybank or open a bank account and have your kids deposit 10% of their money.

• 5. Overspending with credit

Pulling out the credit card for every purchase can increase your debt. Using credit cards build your credit history, but there’s a trick to this approach. Give yourself a monthly spending budget, and always pay off the balance at the end of the month. If you can’t handle a credit card, leave it at home.

Changing your mindset is key to better money management. Avoid giving your kids the wrong idea about money, and take steps to set a good example.

Disclosure: This is a sponsored post.

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