Kids and Money

I'm not sure why I'm blogging on this topic, as I don't have children, but it's my blog, so I can say what I want! Teaching one's children about the responsible handling of money is done in many different ways by parents. No matter your beliefs on the topic, whether allowance, earnings or gifts, your child will have money pass through their hands as they grow. I've found two websites that have products that should help parents teach their children about the handling of money.

Prosperity 4 Kids has a number of learning resources including the Money Mama and the three little pigs ceramic bank.

Money Savvy Generation as part of their educational program, offer coloured banks, of transparent plastic.

Both offer a wealth of educational material for teaching children of all ages about money management. Money Savvy Generation also offers a 'portfolio' for teen-agers to encourage them to plan their financial future, whether it be the newest gadget, prom night, or post secondary education. Each of these banks promote four avenues for expenditures; saving, spending, investing, and donating. The inclusion of a donation (or tithe) section has apparently generated a very positive response among children, which seemed to surprise their parents!

I've now got an idea for birthday gifts for the youngsters in my life!

The following Comments were earlier added to this blog entry:

Vicky said...

The first link is okay, but assumes that kids possess a certain mathematical ability not always found in all ages. Not only that, these banks presume that the child has the right change, which in turn puts the onus on the parent to provide the allowance (or the grandparent to provide the gift) in the right break-down.

Now, you don't have kids, so you don't realise that such a setup creates one more "thing to do" in the run of a day.

We've simplified it. Katherine has a piggy bank and can spend anything in it. Each Saturday, if she cleans her room, she gets $2. $1 she can keep and spend or save for something bigger (she often does this) and $1 she must bank at the actual bank. Since we go there weekly anyway, it's become her part in the family routine.

Charitable donations we do in larger chunks, such as a present for the wish tree, a donation to an animal shelter or time spent doing something for a charity.

Money saved for the long term means nothing to Katherine really, other than one thing we do as a family each week. The habit is what we're gunning for. Half and half seems easy for her to understand numerically and viewing the bank is a place that you put money into as a concept is working for her. Besides, let's face it, kids don't really need to spend 70% of their income. Until they actually start having real expenses, they can learn to save more.
March 9, 2007 9:50 AM
Vicky said...

I meant to add that the second link seems better to me. The product is simpler and more intuitive.
Cheers!
V
March 9, 2007 9:56 AM