For these and so many additional reasons, parents are reluctant to talk about financial matters with their children, but then we inadvertently extend the cycle of financial illiteracy onto the next generation.

What can parents do to foster financial capabilities and give their children the knowledge and hands-on experiences they need to be financially literate? Families need to know that true teaching of money matters begins at home, not with lesson plans and tests like at school but with conversation and dialogue.

Most adults are fully equipped to instill sound financial decision-making skills in their children, even if we do not have all the answers and even if we fall short ourselves. Our children can learn equally well from our mistakes and our successes; these informal teachable moments simply take a little forethought and honesty.

Overall, the main way parents can teach financial literacy is by speaking out loud those decisions we make almost unconsciously: do we save or buy now, do we repair or replace, do we buy the sale item or the other brand … the list goes on.

We do not need to create teachable moments for financial literacy since they are already all around us. And summer vacation is the perfect time to demonstrate personal finance lessons in hands-on, meaningful ways in your home.

First, although it takes more time and effort, involve children in errands. With some creative energy, errands can be a fun and engaging learning experience.

If the child is very young, carry on a conversation about your decisions as you walk through the store and check items off your list. “Do we like green grapes or red grapes? What is the price of each? Now I weigh them to see how much these will cost.”

Recognize the unconscious decisions you make at the store and speak them out loud to your child.

If the child is older and capable of being unsupervised in the store, send the child to find an item on his/her own and report back to you: “Cheddar cheese is on our list. Please find it and let me know if the shredded cheese is on sale.”

If the child drives, send him/her to the store with a list, a calculator app on the phone, and cash to make those purchases for you, within limits.

Next, let your child see you paying bills. Briefly mention how bills work, that families pay for electricity for their lights and air conditioning, water for their showers, and rent or mortgage for where they live. Through you, they learn that life has expenses and how to handle them.

You can demonstrate that you work to pay for these services, and you have to make choices at the store so you have enough money at the end of the month to pay for things like the lights. By talking through these decisions adults have to make, your child will see you taking charge, being responsible and weighing the options of how to spend your money. These are powerful teaching moments that will serve your child well in years to come.