We teach our kids how to read, write, and tie their shoes but what about how to handle money?
In a world where consumerism starts early and financial mistakes can follow you for life, teaching kids about money isn’t just smart, it’s essential.
The earlier they understand the value of a peso (or dollar), the stronger their foundation will be for responsible choices as adults.
Here’s how to start:
1. Start With the Concept of Earning
Money doesn’t grow on trees and kids need to know that. Help them connect effort with reward.
Give age-appropriate chores that earn small allowances.
Celebrate the work, not just the money.
Avoid tying all help at home to payment, teach both responsibility and value.
Lesson: Money is earned, not magically given.
2. Introduce Saving and Spending
Give your child three jars (or envelopes): Save, Spend, and Share.
Let them divide their earnings between the jars.
Encourage short-term savings goals (e.g., a toy or book).
Let them make decisions and mistakes with their spending.
Lesson: Budgeting is about choice, not restriction.
3. Talk About Needs vs. Wants
This is a powerful concept, even for adults. Start with examples:
Need: food, school supplies, clothes
Want: candy, toys, gadgets
When they ask for something, pause and ask: “Is this a need or a want?”
It encourages critical thinking and delayed gratification.
Lesson: Not everything we want is something we need, and that’s okay.
4. Use Everyday Moments as Money Lessons
Grocery shopping? Show how to compare prices.
Paying bills? Explain what utilities are and why they cost money.
Swiping a card? Talk about how money moves digitally, not just with cash.
Real-life conversations leave lasting impressions.
Lesson: Money is part of life and they can learn by watching you.
5. Let Them Experience Waiting
Saving for something they want teaches patience, discipline, and pride in their purchase.
This builds financial confidence early.
Lesson: Waiting doesn’t mean losing. It means choosing wisely.
Final Thought: Make Money a Normal Conversation
Kids model what they see. If you stress over money or avoid talking about it, they’ll pick up on that energy. But if you’re open, calm, and intentional, they’ll learn that money is a tool, not a problem.
Start simple. Stay consistent. You’re not just teaching them about money. You’re teaching them how to take care of their future.