At some point, every parent realizes their child is ready to start talking about money. Either your kid is suddenly asking thoughtful questions, or playing “cashier” more often than not. Some kids even ask for a credit card!
When should you expect this development? Good question.
Kids and Money
Preschoolers will enjoy using pretend coinage as a mere accessory to their make believe dress up games, not unlike high heels or a top hat. It’s around school-age that they typically show an interest in the actual value of money and what it can do for them, according to Dr. Mike Amster of Warrenton Pediatrics in Warrenton, VA. A board-certified pediatrician and member of the American Medical Association, Dr. Mike says that around the first grade, kids start equating money with the work it took to earn it. “A five-year-old will take any money they have and run out and impulse buy,” he says. “By seven or eight, they start to understand that it takes work to obtain money, and perhaps they want to spend more wisely. By 10 years old, many are making frugal choices and saving for things they really want.”
Here are 5 ways you can educate your kids early about the value of money, and how it can work to their advantage.
Above all, model the characteristics you’d like to see your kids adopt. If it seems like your lessons are going in one ear and out the other, take heart. Stick with it. It’s a rewarding moment when in their 20’s, for example, your college student thanks you for the financial lessons you taught early on.
If you yourself need help with you financial spending, saving and sharing contact CESI Solutions. We are here to help set you up for financial freedom, today!
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