How can I help my kids learn the value of money?

Help you child set up that lemonade stand. Encourage him to print flyers that say he’ll mow the neighbors’ lawns or walk the neighbor’s dog.  Your child can learn from a young age that how you earn money is through hard work. Not only will you encourage your little entrepreneur but you’ll also help him appreciate the value of money.

Financial experts agree that understanding cash, credit, and consumerism is possible, and important, for building a sense of financial responsibility in children.

The ABCs of Do-Re-Me

Kids need to know how the economy works. No, not stocks, interest rates, and world markets! I mean the basic ins and outs of a family economy. You can start when your kids are very young by helping them understand the difference between needs and wants, that money comes from working, what money looks like, and that everybody has a job (a kid's job is to learn things, to play, and to participate in the family). As they get older (once they know that a nickel is worth less than a dime, even though it's larger), you can talk with them about credit cards, bank interest, and so on. Kids can learn about budgeting from the time they are about seven. Remember that a solid money education is one of the best tools you can give your kids—it will aid them the rest of their lives.

Ethics Through Sharing

Part of a solid money education includes teaching your kids that, as a member of a community, as a responsible person, and as a world citizen, they have a responsibility to other people outside themselves and their family. That means sharing. We all live on a small planet together, and we are all linked. Teaching your kids a sense of social ethics includes a sense of charity or giving.

Value Money through Hard Work

Help you child set up that lemonade stand. Encourage him to print flyers that say he’ll mow the neighbors’ lawns or walk the neighbor’s dog. Your child can learn from a young age that how you earn money is through hard work. Not only will you encourage your little entrepreneur but you’ll also help him appreciate the value of money.