Fun, simple ways to learn how to save money.
The phrase “teach them young” goes beyond just educating them on what professional sports team to root for. The earlier you can show your child the world of personal finances, especially when it comes to saving, the better off they’ll be in the long run.
According to an article CNBC, “children are watching just how their mom and dad spend money” and also suggest that “some experts even believe that this is one of the biggest financial patterns kids adapt early on.” But how exactly do you shift their early thinking away from spending and more on the importance of saving?
In this article, we’ll explore how to teach your kids about money in some fun, simple, and creative ways.
Create a DIY piggy bank
If your child is into arts and crafts, let their creativity run wild by making their own DIY piggy bank. Use items you may already have around the house like empty boxes, jars, or other containers and let them decorate it to their heart’s content with crafting materials like glitter, markers, stickers, etc.
Having their own unique piggy bank and placing it in a highly visible area of the house is not only a simple solution for how to teach your kids about money, but can also make the process a little more fun.
Break out the board games
Release your inner child and grab the family for a game night! Classic board games, like Monopoly, are not only fun family activities — they’re also amazing tools to help your kids learn how to save money. Are they able to manage their cash to buy property on the Boardwalk? Will they have enough money if they fall on the luxury tax space?
No matter what happens, your child is sure to leave game night having learned a little something about personal finances!
Enjoy an educational story time
Reading is an immersive and exciting way for children to learn about the world around them, but have you ever tried teaching your kids how to save money through literature? Not sure where to start? Check out this blog article for our financial literacy book recommendations for children, young adults and tweens, and even adults.
Start a savings challenge
Challenges are a great option for how to teach your kids about money. A couple of fun ideas include:
- The Matching Challenge: For every dollar your child saves, you match their contribution to a certain percentage. This idea mimics the idea of 401k matching and can really encourage them to save more.
- Spend vs. Save: Give your child a few dollars before heading out on a shopping excursion. Having this budget in mind will help them compare prices and decide whether or not it’s worth spending the money or saving it.
- A Dollar a Week: Have your kids save $1 the first week, then $2 the second week, and so on throughout a designated timeframe. If continued during a year’s span, they’ll have saved over $1,300! Create a chart to track progress so kids can visually see their money grow week by week.
How to teach your kids about money is a difficult topic for many parents and guardians to figure out. However, it’s one of the most valuable life lessons you can share as a parent or guardian. By making it fun, interactive, and rewarding, you also help them build positive money habits that will last a lifetime. Whether it’s through games, DIY crafts, or savings challenges, there are endless ways to turn learning into an adventure.