Whether you’re a millennial parent or a Gen X parent, teaching your kids money skills is a valuable lesson ALL parents say should happen sooner than later in life. A recent survey found that many parents these days think instilling financial how-to’s in their children ought to happen at age 12 or younger.*
Here are seven great ways to help acquaint younger kids with personal finance topics:
1. Invest in play money. Introduce the concept of money to your children as soon as they are able to count. Buy a play money set so they can actively use it while playing.
2. Open a savings account. Start a savings account for your child to instill the importance of regular saving and saving early.
3. Start a library. Reading about money management is a great way to introduce your child to personal finance at a young age. There are countless fun and educational books about money for kids.
4. Write checks. Teach your child the art of writing a paper check. Use your own or try one of the plenty of online tutorials available on the Internet.
5. Collect coins. Becoming a numismatist can definitely peak your interest in money matters! Check out the United States Mint for Kidswebsite for free games, activities and resources on coin collecting.
6. Pay for good grades. Pay your child an allowance for getting good grades. For example, pay $5 for an A and $3 for a B. Triple the money if your child brings home all A’s and double it for A’s and B’s.
7. Play the Stock Market Game. Teach your child the fundamentals of personal finance and investing while working together to build and manage an investment portfolio.
*USAToday.com, “Is 12 Years Old Too Young to Talk to Your Kids About Money?,” July 25, 2018