Financial education
None of this is expert advice. It's what people worked out for themselves, usually the hard way — what actually helped, and what they'd tell someone standing where you are. Take what fits and leave the rest.
If you only read a few
Match your child's earnings from part-time jobs with deposits into a Roth IRA in their name.
It serves as motivation for them to remain employed and builds long-term appreciation for retirement savings.
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Have preteens write out checks for monthly bills and log them in a check register to understand family budgets.
One person found this was an eye-opener regarding monthly checking account balances.
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- Involve teenagers in household budgeting by having them physically send in bill payments or manage the grocery shopping budget for a period.1
Allow children to help with tasks even if they do them improperly, rather than shooing them away.
Shooing them away can make them unprepared for living on their own and may lead parents to complain that the kids never help.
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Expose toddlers under five to new experiences to stimulate brain development.
Seeing new things literally opens their minds and makes new connections in their brains.
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Simulate earning and spending by paying children for work and having them pay back simulated daily bills from those earnings.
One parent reported this created disbelief and tears, highlighting the reality of expenses like income tax, rent, and mortgage.
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Do not bribe children with money or treats for good behavior or grades; frame these actions as inherent expectations of family membership and work.
Bribing creates a slippery slope where work becomes viewed merely as a chore for payment rather than a responsibility.
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Talk openly with teens about money management.
The education system does not teach smart financial habits, and learning without guidance can lead to life-ruining decisions.
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Provide a weekly or monthly allowance instead of paying for chores to avoid incentivizing children to delay tasks or create messes for payment.
Paying per task can lead kids to wait for hire or intentionally dirty rooms to earn money.
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Explain the reasoning behind your financial choices to your children, even when those choices fail.
They will learn from observing your thought process and why outcomes occurred.
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Show teenagers your personal finance spreadsheet or budget to explain financial decisions.
It helps them understand why parents make certain financial choices.
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Frame financial contributions from teenagers as a forced savings account or a matching program to avoid resentment.
Calling it a forced savings account ensures the kid knows they are saving and does not think parents are stealing from them.
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Allow children to make independent financial decisions and negotiate prices, accepting that they may lose money as part of the learning process.
They learn from both successes and losses.
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Take children to the same destinations multiple times as they grow.
They may appreciate the experience on different levels as they get older, even if they enjoy it now.
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Start contributing to retirement funds early, even if the amount is small.
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Put major purchases on a list and wait a week before buying them to ensure the desire persists.
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Require children to save up for expensive items rather than buying them immediately.
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Treat children as autonomous humans by seeing, appreciating, and supporting their efforts.
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Explain the cost of everyday items, such as dirt, to teach children that resources have monetary value.
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