[Kayla Buell – Ambassador]

I love that you’re thinking about teaching your daughter about money! Although I didn’t have a bank account myself until I was in high school, I do remember my parents teaching me about saving up for really special purchases. We’d sit down and think about one toy that I really really wanted and then they’d tell me how much that toy cost. Once I had that goal in mind, I’d start saving any kind of birthday money or chore money I would get and that’s how I ultimately paid for my Barbie dream house 🙂

[Kelby Green – Ambassador]

Tying the savings lesson to special purchases is a really good idea! I’ll definitely try that out. Thanks, Kayla!!

[Antoinette Minor – Ambassador]

This is great that you are starting early. I would check with your local banks and see what they have. The credit union I used to work for had a great savings workshop and a list of activities you could do at home with your child. Most importantly, I think parents often focus so much on savings that they miss the opportunity to also teach children about making purchasing decisions. I would incorporate some kind of plan when she gets older that will have her “pay bills” because too many people grow up to a shock that life comes with real bills LOL

[Kelby Green – Ambassador]

You are absolutely right! I had not even considered teaching her about purchasing decisions…that’s huge! *feverishly adds that to my list of parenting lessons*

[CHO at KD, Inc.]

My kids are a little older (10, 7 and 7) and they are really starting to understand “cost.” I do think that at these early ages it’s about helping them understand the value of money and how far it does (or does not!) go.

It’s really helpful to take them with when you have to buy a birthday present for a friend or family member so that they start to understand what all those cute, cuddly or light-uppy things cost! One of my favorite “exercises” is to talk with them about what $20 can buy: it can buy this 1 item, or these 2 items but not this other one because it’s a lot more. They start to get the idea that money is finite!