Create Save, Spend and Give Jars

Three clear jars can make abstract money categories visible.

Label one jar Save, another Spend and another Give.

When a child receives money, help them decide how much should go into each jar.

The percentages do not need to be complicated.

Help Them Choose a Savings Goal

Saving becomes easier to understand when the child knows what the money is for.

The goal might be a toy, book, game or special outing.

Write down the price and compare it with how much the child already has.

Then calculate how much more needs to be saved.

CFPB materials recommend using specific savings goals and breaking them into smaller steps. :contentReference[oaicite:2]{index=2}

Create a Savings Progress Chart

Children may find visual progress more motivating than simply hearing a balance.

Draw a thermometer, ladder or row of boxes.

Every time money is added, color in another section.

Set Up a Pretend Store at Home

Turn toys, fruit or household items into pretend shop products.

Add simple price tags.

Then let the child practice being both the customer and cashier.

This activity can teach counting, purchasing decisions and basic change.

Let Kids Compare Grocery Prices

Shopping can become a practical financial lesson.

Show two similar products with different prices.

Ask which costs less.

For older children, compare package sizes and unit prices where available.

Give Them a Small Shopping Budget

A fixed amount forces real choices.

For example, give a child $5 or an age-appropriate amount for a snack or small treat.

If two desired items cost more than the budget, the child must decide which matters more.

That decision teaches a basic financial truth: money is limited.

Play Needs vs Wants

Write different items on cards.

Examples could include food, shoes, a game, water, a toy, housing and candy.

Ask the child to sort them into needs and wants.

Then discuss items that are not completely obvious.

For example, clothing is a need, but an expensive designer upgrade may be a want.

Practice With Pretend Money

Younger children can learn by handling physical representations of money.

Use play coins and notes to practice counting different amounts.

Later, create simple purchase exercises.

For example, ask which combination of coins could pay for a pretend $3 item.

Let Kids Earn Money Through Age-Appropriate Tasks

Children can learn that money often comes from work or value provided.

Depending on age and family approach, this might involve an allowance, additional household tasks, pet care or small supervised activities.

The FDIC highlights opportunities such as age-appropriate work and small entrepreneurial activities as ways to discuss earning, spending and saving. :contentReference[oaicite:3]{index=3}

Have a Family Money Night

Make financial learning an occasional family activity rather than something discussed only when money is tight.

Choose a simple topic such as saving for a goal or planning a low-cost weekend.

Keep adult financial stress and private details out of the lesson.

The CFPB recommends family-oriented financial learning and everyday teachable moments. :contentReference[oaicite:4]{index=4}

Read Books That Include Money Decisions

Stories can make financial ideas easier to understand.

Look for age-appropriate books about saving, earning, sharing, waiting and making choices.

After reading, ask what the character could have done differently.

CFPB's Money as You Grow Bookshelf includes children's books and discussion guides built around financial concepts. :contentReference[oaicite:5]{index=5}

Offer a Small Savings Match

Parents can make saving more exciting by matching part of what a child saves.

For example, you might add 25 cents for every dollar the child puts toward a particular goal.

The CFPB specifically suggests savings matching as one way to reinforce saving habits. :contentReference[oaicite:6]{index=6}

Visit a Bank or Credit Union Together

A visit can make banking less abstract.

Explain that banks and credit unions provide places to hold money and offer financial services.

For an older child, discuss savings accounts and interest.

CFPB guidance suggests showing school-age children how savings accounts work and discussing why people use them. :contentReference[oaicite:7]{index=7}

Show How Digital Money Works

Children increasingly see adults tap cards or phones rather than hand over cash.

That can make spending appear almost invisible.

Explain that digital payments still reduce the amount available in an account.

For older children, show a safe example of how a bank balance changes after a purchase.

Play a Saving and Spending Game

Games allow children to experience financial trade-offs without real financial consequences.

Create a simple game where the child earns pretend money, spends some and saves some.

Then introduce an unexpected event.

For example, a broken bicycle might cost five pretend dollars.

CFPB classroom activities use similar games to explore how spending choices affect saving and how emergency savings can help with unexpected costs. :contentReference[oaicite:8]{index=8}

Let Kids Plan a Low-Cost Family Activity

Give an older child a realistic budget for one family activity.

For example, ask them to plan an afternoon for $30.

They might compare admission prices, food costs and transportation.

This teaches budgeting while giving the child meaningful responsibility.

Give Two Choices Within One Budget

Opportunity cost becomes easier to understand through actual choices.

For example, a child with $10 might be able to buy one larger item or two smaller items.

Choosing one means giving up the other.

Ask which option provides more value to them.

Teach the Power of Waiting Before Buying

Waiting is an important money skill.

When a child wants something immediately, suggest adding it to a wish list.

Wait several days before deciding.

Sometimes the child will still want the item.

Other times, the excitement disappears.

Use Birthday Money to Practice Allocation

Birthday or holiday money creates a natural teaching opportunity.

Instead of telling the child exactly what to do, discuss options.

They might save part, spend part and give part.

Then let the child participate in the final decision at an age-appropriate level.

Show How Small Purchases Add Up

Children may understand a $2 purchase but not how repeated spending affects savings.

Use simple arithmetic.

A $2 snack bought five times costs $10.

If the child's savings goal costs $20, those purchases represent half the goal.

CFPB saving-and-spending activities specifically teach how small spending choices can affect the ability to save. :contentReference[oaicite:9]{index=9}

Let Children Practice Giving

Money can also be used to help others.

A child might choose to give part of their money to a cause, community activity or someone in need with appropriate parental guidance.

The lesson is not about requiring a particular percentage.

Instead, it shows that money decisions can reflect personal values.

Explain How Savings Can Grow

Older children can begin learning a simple version of interest.

Explain that some savings accounts may pay interest on money kept in the account.

Use very small examples rather than complicated formulas.

Let Older Kids Help Plan the Grocery Budget

Give an older child responsibility for planning one meal within a budget.

Ask them to list ingredients and estimate the cost.

Then compare estimated and actual prices in the store.

This combines budgeting, shopping and practical mathematics.

Think Out Loud About Everyday Money Decisions

Children often see what adults do without understanding why.

Explain simple decisions aloud.

For example: “These two products do the same job, so I'm checking which gives us better value.”

Or: “We're waiting until next month because this purchase isn't urgent.”

CFPB guidance for school-age children recommends thinking out loud so children can understand the reasoning behind everyday money decisions. :contentReference[oaicite:10]{index=10}

Celebrate Savings Milestones

Do not wait until the entire savings goal is complete.

Celebrate reaching 25%, 50% and 75% of the goal.

Recognition can be simple.

Update the chart, congratulate the child or let them choose a free family activity.

The objective is to reinforce the habit rather than reward saving with another expensive purchase.