Teaching Money to Kids Through Activities
Part of living frugally is to provide for our children, without breaking the bank. In doing so, it’s important to help explain to our kids just what goes into saving money, and living a full life. But let’s face it, not all kids are interested in learning how to save or what really is involved with money, other than the shiny toys they get to play with. And as we get older the financial mistakes we’ve made previously tend to become more out in the open and apparent. The beauty of this all is that this provides an opportunity for us to avoid those same mistakes, and teach our children how not to make these mistakes in the future.
In order to teach children about money in a way that might actually strike their fancy, you need to become more creative by providing teaching opportunities through activities they will listen to.
One of the first and easiest ways to teach children about money is to provide them with an allowance for completing chores (work). It’s important at whatever age you decide to reward your child with an allowance that you also provide them with the opportunity to learn about saving. Choose a portion or percentage of their allowance that they must save each week or month. This will teach them about paying themselves first in the equation, and make sure they will save up for something that might come up in the future.
Savings / Goal Chart
When kids are given a visualization of what they are working and saving for, it will make saving much more fun. You can make a chart, using stickers and set a goal at the end of what they are saving for. Each time they add in money to their savings a sticker is placed, therefore showing them the progress they are making along the way.
Games are a great way to get kids involved and teach them all about money and savings in the process
The game of Monopoly provides an excellent opportunity for children to learn about money, paying rent, and living with expenses. In addition it’s another great way to teach them to count in fives, tens, and twenties and even by hundreds. Another opportunity within the game of monopoly for your children to learn about money is by letting them become the banker, and being responsible for the games money.
What better way to teach children about money and savings then with everyday activities.
Another great way to teach your children to become responsible when it comes to dealing with money is by making a shopping list and sticking to a budget. To help them become more responsible as shoppers you can let them be involved in the process of making the list and setting the budget for the week. Then take them along to the store, so that they may learn the process of living off a budget and sticking to it.
Teach By Example
The best way kids learn from their parents is by example. If you are setting a good example on budgeting, and saving money, there is a good chance that your children are taking notice. Most younger children do not realise about savings accounts, so it might be a good idea to start a ‘savings jar’ for yourself as well. Place a small amount of your savings, or even spare change in this jar so that the children have a visual, and see that you are saving.
With a few everyday activities and games, you can be well on your way to teaching your children all about savings and money. It’s important to start the process young, when they have learned how to count and basic math, so as they get older they will learn to incorporate this way of living into their daily lives.