Spoiler alert: there’s a lot of info to get kids started right on the right path :-)
If you're reading this, you are probably pretty familiar with what Family Money can do. If you haven't, download the app and let us know what you think.
Even though Family Money was made by adults who didn’t grow up with smartphones, our parents—just like yours—wanted us to be able to take care of ourselves and our money better than they did.
So we created Family Money to help you understand how important it is to start teaching financial literacy at a very young age. Here are our top 8 tips on ways parents can help their kids learn about spending and saving money.
Parents can start by sharing some of these tips with your kids:
- Pay yourself first. Explain to your child why it is important to pay your future self first by setting aside a portion of any money you receive. Saving money may help reach longer term goals, like going to college, or getting a new bike.
- Save a bit of everything. Even if it’s just cents, it adds up. Did you know that a quart of pennies is $13?
- Keep most money in the Family Money Vault. Move just enough to your Spend Card for current needs, with a little extra (just in case). Encourage your child to check out how their Vault is growing.
- Show the savings. Your child can send you a screenshot of their Vault.
- Set multiple goals. It is easier to save when you have a special goal in mind. Encourage your child to save an image of their goal to help them keep it in mind. It is important to have more than one type of goal. For example, an immediate goal might be a new game system, but a long range goal, may be saving for college.
- Offer more chores. Every once in a while, consider extra chores like cleaning and organizing the garage or hallway closet. This is a great way to determine if a child is ready for more responsibility. It also demonstrates the essential link between work and money.
- Don’t go broke saving money. Caution your child not to buy stuff just because it’s a killer deal. Bargains can make us buy more things than we need.
- Sleep on it. Encourage your child to think about making purchases by sleeping on it and waiting overnight before making the commitment to buy. Remind your child not to let friends talk them into buying something that their friends just want to borrow.