Teaching kids about money

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Daedala
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Teaching kids about money

Postby Daedala » Mon Dec 22, 2008 8:31 am

I gave my 10-year-old niece $500 for her birthday. The catch is that it is a two-year ING Direct CD.

Now she wants to invest her $50 Christmas money from Grandma. My sister (her mom) is pretty sure that it's directly because of the CD.

Hey, I think this is a great success! :)

In other news, I've fully funded my 2008 Roth in 2008, paid off $7K in credit card debt, and made about $5K in 401k contributions.

peachy
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Postby peachy » Mon Dec 22, 2008 2:43 pm

I think that's great that you gave your neice 500 bucks. That's more than I plan on giving my relatives!
Congrats on paying off debts and funding your retirements.
2009 has to be better for you!

nossorc
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Postby nossorc » Mon Dec 22, 2008 7:19 pm

its the perfect way to teach, i know when i was younger i was always pumped to go to the bank with my mom for two reasons...

to see my interest updated and see the money i had earned by doing nothing

and the lollipops

Daedala
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Postby Daedala » Mon Dec 22, 2008 8:25 pm

nossorc wrote:its the perfect way to teach, i know when i was younger i was always pumped to go to the bank with my mom for two reasons...

to see my interest updated and see the money i had earned by doing nothing

and the lollipops


ING does not provide lollipops, sadly.

The niece gets used books for birthday and Christmas for the rest of her life. But I will help her invest. :)

HollyP
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Postby HollyP » Thu Jan 01, 2009 7:15 pm

That is fabulous. What a great aunt you are!

I need to have my kids talk to their cousin. I recently discovered that at nine years old, she'd saved well over $600. My kids beg to go to the store if they find a nickel on the street.

alfredsky
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Re: Teaching kids about money

Postby alfredsky » Thu Jun 21, 2012 5:04 pm

You can train them to save money by simply giving them piggy banks where they could placed coins and wait till they receive full. You can also open bank accounts for them and let them deposit money using their allowance. It is recommended to show them how much they have got earned to keep them motivated.
Last edited by alfredsky on Fri Jul 06, 2012 9:22 pm, edited 1 time in total.

Eagle
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Re: Teaching kids about money

Postby Eagle » Fri Jun 22, 2012 7:10 am

We like Junior's Adventures from Dave Ramsey.

For older kid's an alternative to Monopoly is "Act Your Wage." We bought and use it for our community center. The kids love it!

Recommended Ages: 10 to 110 (Even though some 7 or 8 year olds usually want to play as well)
Language: English

•Keep your savings up and expenses down as you compete to be the first to yell, “I’m debt free!”
•Don’t let your emergency fund go below $1,000.
•Plan for expenses using the envelope system. You don’t want to have too much month left at the end of your money.
• Spend, Save and Give through the income and expenses of everyday living.
•Dave Says cards keep the wisdom coming.
•Pay off debt using your debt snowball.
•Whether you’re an accountant, teacher or lawyer, no matter if you’re upside-down or right-side up—with Dave Ramsey’s Act Your Wage!, it’s fun to win with money.


Also love the Junior Aventure's bank. We don't actually have one but It's easy to get three little piggy banks and label them "give, save, spend." ;)

I'm sure there will be haters out there on DR but we like these to help educate kids about money. ;)
~ Eagle
www.eaglesoaringhigher.com

geoff_tewierik
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Re: Teaching kids about money

Postby geoff_tewierik » Tue Jun 26, 2012 9:16 pm

While not a fan of threadomancy.

Image

Eagle
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Re: Teaching kids about money

Postby Eagle » Wed Jun 27, 2012 9:56 am

That's a nice piggy bank. Where did you find it?

After doing a search I found it on Amazon.

I also found this article about piggy banks for kids.
~ Eagle
www.eaglesoaringhigher.com

plantingourpennies
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Re: Teaching kids about money

Postby plantingourpennies » Sun Jul 08, 2012 2:36 pm

I'm fascinated by this topic, despite having no children of my own (yet).

Financial stability is such an important part of our culture/communities and nation, but to my knowledge it's not taught at all in k-12 public education. I know I certainly didn't learn anything about it in high-school or college!

My mother gave me my allowance, and then told me to put half of it in my piggy bank. Putting away 1/2 of my income has served me well since then!

Mr. Pop

http://www.plantingourpennies.com/
My experiences with frugality and slow wealth are at http://www.plantingourpennies.com/

Fredy Atwater
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Re: Teaching kids about money

Postby Fredy Atwater » Wed Jul 03, 2013 3:03 pm

Hi To You All :

I am also one who loves children. I want to found the greatest finance school in history but I am having a hard time with the adult world.

If you know someone interested in teaching children finances at a school level and they're willing to do something about it I have got the method. Please let me know.

Children are really smart and they pick up quicker than us adults.

Thanks For your post Daedala, I loved it.

Fredy Atwater

kaufenpreis
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Re: Teaching kids about money

Postby kaufenpreis » Wed Apr 30, 2014 10:35 am

The Value of Money
Kids as young as three years old begin to pick up intuitively that those coins and papers in your wallet or purse have value, but they don't necessarily understand how. Start by teaching kids to recognize coins and how much each is worth. At first kids may have difficulty understanding how a small coin like a dime can be worth more than a bigger coin like a nickel, so it may take time and practice. To make it easier, play money games with a jar of coins or use Kai-lan's Coins & Counting Pack and Kai-lan's Coin-Match Coloring Pack to help kids recognize the differences between pennies, nickels, dimes, and quarters and learn their values. By playing games with money, you'll also be building early math skills like sorting and counting.
Learning to Budget
With an understanding of the value of money, kids can begin to learn how to use it wisely. Hopefully you've set the stage by modeling good money behavior whenever you can. For example, saying "I'll just use my credit card because I don't have cash," may send the wrong message about money--unless it's followed by "the credit card bill comes in at the end of the month, and I take money out of the bank to pay it."

Talk to your child about how you and your family use money. Explain to your child that your family has a budget and that budget is divided into monthly expenses and long- and short-tem planning. You can tell them:

"We have a set amount of money each week that we earn from working. We have to use that money for the following things each week: rent or mortgage, groceries, clothes, gas for the car, charity, and saving for your college and our retirement. That's why we have to plan ahead and not spend all of our money now."

To teach kids how to budget from their allowances, it helps to be very visual. Explain to kids that their money--just like yours--gets divided into money to save, spend, and share.

John88
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Re: Teaching kids about money

Postby John88 » Fri May 09, 2014 11:27 am

Teaching kids the value of money is extremely important is today’s fast moving world. The best way to teach them is giving them pocket money every week and seeing how they utilize that money. This will help you understand what the child is spending on and you can actually teach them the importance of saving money.

Kendrick
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Re: Teaching kids about money

Postby Kendrick » Sat Jun 28, 2014 7:30 am

That is awesome. I think that when we teach kids about money early on, they will really and truly benefit from it.

dragtrot
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Re: Teaching kids about money

Postby dragtrot » Sat Dec 06, 2014 2:49 pm

Daedala wrote:I gave my 10-year-old niece $500 for her birthday. The catch is that it is a two-year ING Direct CD.
free instagram followers fast
Now she wants to invest her $50 Christmas money from Grandma. My sister (her mom) is pretty sure that it's directly because of the CD.

Hey, I think this is a great success! :)

In other news, I've fully funded my 2008 Roth in 2008, paid off $7K in credit card debt, and made about $5K in 401k contributions.

One day she will thank you for this! It's a critical thing to do by teaching children about money at a young age.. helps them learn its value and how not to be spendthrift :)

I will do what you did here with my son that has just turned 12.


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