Key Takeaways

• • • • • • • • • Building money skills early can shape your child’s future financial independence
                  
                • Everyday activities can easily include financial literacy topics
                  
                • As kids grow, they can manage their money independently with your guidance

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  • Building strong money skills early can benefit your kids for a lifetime. Finding simple ways to talk about earning money and how your family uses it can fit naturally into everyday routines.
  • Some ideas can be:
    • Involve your kids in age-appropriate activities and decisions that include money—real participation makes learning stick.
    • Show how your family spends and saves to help them understand your values and how choices are made.
    • Use conversations, games, and books to introduce money concepts in a fun, age-appropriate way as they grow.

    Children need to know where money comes from, which you demonstrate daily when you go to work. Explain that you earn money by working and then use that money to pay for the things your family needs. As your kids get older, involving them in simple budgeting decisions can help them better understand the value of money and how it’s managed.

    Consider teaching about money with these activities to help incorporate financial learning into day-to-day activities.

    Money Skills through Play: Ages 2 – 3

    Little ones love to play store, so you can incorporate pretend money into playtime. Try setting up a play store at home with items you have on hand and go shopping with play money. Use:

    • Empty food boxes, like mac and cheese
    • Apples
    • Books
    • Toys
    • Crayons

    Create play money using paper and crayons to “copy” real money that’s in their piggy bank.

    Books for Little Ones

    The Moneybunny book series by Cinders McLeod covers earning, spending, saving and giving through the adventures of four bunnies. Great for ages 3 to 5.

    Teaching Kids about Money with Shopping and Meals: Ages 3 – 5

    Include your kids in your regular grocery store trips. Before you go, make the list together and gather coupons. They can help you find the items on your list, then save with coupons or by choosing a less expensive version.

    Try playing restaurant at mealtime. Children can:

    • Set the table
    • Tell their tablemates what’s on the menu
    • Clear the dishes
    • Pay and make change with play money.

    Bonus: playing restaurant is a great opportunity to teach manners, too!

    Learning with Real Money: Ages 6 – 8

    At this age, money talk starts to get real, especially when your kids start earning an allowance. Now is the time to discuss how to divide money for saving, spending and giving.

    FamZoo¹, available in My Toolkit in Lake City Bank Digital, is a prepaid debit card system with built-in parental controls that helps families teach financial responsibility in a safe, hands-on way.

    FamZoo helps kids:

    • Build healthy financial habits
    • Save
    • Handle chores
    • Manage their allowance

    You can even incorporate parent-paid interest² into the mix!

    Money Books for Kids

    The Everything Kids’ Money Book by Diane Mayr is a comprehensive financial guide for kids ages 7 – 12. It covers everything from where money comes from and what it can buy to how credit cards work, how to save, and how financial technology fits into everyday life—helping kids build strong money skills.

    Another great reference, Finance 101 for Kids: Money Lessons Children Cannot Afford to Miss by Walter Andal, provides a breakdown of saving and investing, using credit and how economics affect personal finances.

    Shopping, Buying and Selling: Ages 9 – 12

    You can use shopping to teach good money habits. Compare brand-name and store-brand items by price at the store. You can even purchase both versions of an item and compare quality and taste at home. Don’t forget to look at unit pricing if items are different sizes.

    Buying and selling can build financial literacy, too. Yard sales, either on your own or as part of a neighborhood event, are a great opportunity to get rid of unused items and earn a little cash.

    With a little supervision, you can put your preteens in charge of:

    • Selecting items for sale
    • Pricing
    • Setting up
    • Posting sale information
    • Handling sales and cash

    They’ll learn about value (what they think an item is worth might not be what a buyer will pay!), see an activity through from start to finish, and evaluate whether the effort was worth the outcome.

    A Book for the Child Entrepreneur

    If that yard sale experience creates an entrepreneurial spark for your child, consider Kid Start-Up: How YOU Can Become an Entrepreneur. Written by Mark Cuban, Shaan Patel, and Ian McCue, this book teaches kid-friendly ways to start a business using real-world examples.

    Earning and Managing: Ages 12 – 15

    As kids enter their teen years, they can start managing money more independently. This is a great time to open their own bank account.

    Lake City Bank’s StartSmart account is designed for young people ages 14 – 23 and includes features such as:

    • 24/7 account access with Lake City Bank Digital
    • Visa Debit Card with responsible spending limits
    • Payments with Google Pay™, Apple Pay® and Samsung Pay™

    StartSmart has no monthly maintenance fee and no overdraft or Non-Sufficient Funds (NSF) fees until the primary account holder reaches their 24th birthday.

    Earning money can also start at this stage, with jobs like mowing lawns, babysitting, or working at a restaurant. Now is a great time to help your teen envision their financial future. It’s okay to approach this conversation in reverse—start by asking your teen about the lifestyle they want as an adult, then talk through what it would take financially to achieve that goal.

    At Lake City Bank, we can help you make money conversations with your kids easier. Drop in to one of our branches or contact our One Call Center at (888) 522-2265.

     

    ¹Additional fees may apply to FamZoo. Please read FamZoo’s fee disclosure here.

    ²FamZoo debit cards do not earn interest on any balance.