Educating Children to Save Money

[cbmeeks]

Re: Educating Children to Save Money

Educating? Children? Money?

Educating: Every word out of my mouth is assumed to be stupid which is then ignored.

Children: Yes, I have three.

Money: Children do not understand money. You can't understand something you don't have or never earned.

cbmeeks

[notmadeofmoney]

Re: Educating Children to Save Money

Hi,

I am new to this board (just joined today) and this thread caught my eye. My husband and I have 3 kids and we are working on teaching them about money. In fact, I just wrote about this very thing on my blog the other day. Anyway, in our house when a child turns 3 then they begin to receive an allowance. It is a very small amount and is really done so that we may model money management to the kids. Dad is the "paymaster". The kids each have 3 jars. One jar is labeled "tithing", one jar is labeled "saving", and the last jar is labeled "spending." When it is allowance day, Dad takes each child separately, pays them their allowance, and then helps the child to divide up the allowance into the correct amounts for each category of tithing, saving, and spending. The kids really enjoy this and like dividing up the money and putting it into the correct jars. Another benefit we have found is that it has enabled us to see our children's natural "money personalities" at an early age. Our oldest loves to spend, our middle child prefers to save everything, and the youngest just wants to save up until she can buy the "big stuff", you know, like a cabbage patch doll.

[Broken Arrow]

Re: Educating Children to Save Money

I don't have any sophisticated or set ideas yet, but if they are young enough, I would like to invest it for them, and when they are old enough, I would like to return that money back to them through dollar-for-dollar matching for the important expenses in life.

[cschin4]

Re: Educating Children to Save Money

It is their money. I do try to guide them or discuss purchases with them. I point out what they could buy instead, what they could save for and how much things cost. They are getting a good idea on the cost. My oldest son likes his money for spending on smaller things, like getting a coke at the ball field, food, smaller toys, etc. My younger son is a saver and keeps his money until he finds exactly what he wants. But, when he finds, what he wants he has no problem spending for it. He usually buys a video game he has waited for. So, I don't think either is right or wrong, but they do both have different spending and saving styles.

[PrincessPerky]

Re: Educating Children to Save Money

Educating? Children? Money?

Educating: Every word out of my mouth is assumed to be stupid which is then ignored.

Children: Yes, I have three.

Money: Children do not understand money. You can't understand something you don't have or never earned.

cbmeeks

Well the teen thinking adults are stupid prolly will never change (but you can hope they outgrow it, and then the mental playback of what you said might help, might..)

but the no money you can help, you could stop buying things for them, and suggest a job, or you could go with an allowance (course your spouse would have to be on the same page)

Having no money it is hard to learn about, One reason I like that the kids get so much in gifts, gives them something to learn with.

[wwjdmsl]

Re: Educating Children to Save Money

I think one of the main points to get across to our children is to let them know that they are NOT entitled to "stuff" just because .....the sense of entitlement of this up and coming generation is very sad.

[Ima saver]

Re: Educating Children to Save Money

I saw 2 children on dr. phil yesterday. What they wanted just for christmas, totaled $8000. She was a single mom, too! Her kids had never even gotten her a birthday card. I have never had one from my child either. (she is 36) Kids have only learned how to take, not to give.

[tgavin71]

Re: Educating Children to Save Money

It is their money. I do try to guide them or discuss purchases with them. I point out what they could buy instead, what they could save for and how much things cost. They are getting a good idea on the cost.

I do this as well. My children have set goals that they must accomplish everyday and if they are all done then they get their money. When its gone its gone and thats it.