How can I teach my son or daughter to handle money?
Financial education starts with a piggy bank. Deciding, waiting and making mistakes with small amounts is the best school.
Children see us paying by card or with our phone and may come to think that money never runs out. Teaching them to handle it is teaching them to wait, to choose and to value effort.
By age
- Up to seven. Get to know coins and notes, play shops, pay for a small purchase themselves.
- From eight to ten. A small weekly allowance, comparing prices, saving up for something.
- From eleven to twelve. Drawing up a simple budget, understanding in-game purchases and advertising.
Practical ideas
- A regular allowance, suited to their age, that they manage themselves.
- Three jars: spend, save and share.
- Let them make mistakes. Spending it all on the first day and running out teaches more than a lecture.
- Involve them in the shopping with a list and a budget.
- Tell the difference between needing and wanting.
What to avoid
Giving extra money every time they ask, always rescuing them from bad decisions and making money a taboo subject.
Talk about it at home
Explaining, naturally, that money comes from work and that we have to decide what to spend it on helps them understand the value of things.