How To Teach Preschoolers and Kindergartners about money
- Use a transparent piggy bank so they can see their savings.
- Teach them the coins and bills.
- Let them pay – take a small amount from their piggy bank and let them use it to buy something at the store.
- Explain the value of coupons.
How to Teach Elementary and Middle Schoolers About Money
- Explain what “opportunity cost” means.
- Explain “wants” and “needs”.
- Put them on the payroll. Instead of an allowance, pay them for their chores. Tie earned money to an activity.
- Introduce 3 buckets: spend, save, share.
- Explain how credit cards and debit cards work.
How To Teach Teenagers About Money
- Identify personal goals (immediate, within 3 months to 3 years, 3 years+) and teach how to budget and save for these.
- Establish a bank account (limited balance) and give them a debit card.
- Discuss credit cards and interest chargers and calculate the cost of revolving debt.
- Explain the power of compounding and calculate the future value of your current savings.