MONEY SMART, at an early age

MONEY SMART, at an early age

Uncategorized - August 8, 2015


Giving your children a good foundation and teaching them about money matters is critical for their personal development. Showing children the basics such as how to budget, spend and save will establish good money habits for life.

Including your child in your day to day decisions whilst shopping can raise a money smart child, BUT…when is a child ready to understand the true value of the coin or note.

A two to three year old child when given several coins to “play “ with will most always choose the biggest one! So it is very obvious that the value of the money at this age is not the focus, learning the names of the coins is where the child is at.

Photostating the coins and encouraging your child to identify them will allow shape and size as well as the front identification to help with the choice of the correct coin.(Please be aware of the need for continual parental supervision at all times. Toddlers may try to put the coins into their mouths)
Allowing your child to exercise his imagination by playing ”Shopkeeper” games can be encouraged by the beautiful reasonably priced vegetables, fruit and groceries, including trolleys that are available in toy stores today. Using recycled objects for this purpose will encourage your child to shop till you drop!

From the age of four most pre-schoolers enjoy “imaginary restaurant” play. A pretend meal creates an opportunity to discuss table setting, table manners and of course the paying of the bill. Children of this age get very excited about paying with pretend money and then getting some change back from the cashier.

Introducing a small amount of “pocket money” from the age of six to eight years is encouraged. The obvious now is to decide where his money is to be kept. So the introduction of a savings account or card, for him to make regular deposits, and be in a position to see his balance on a slip or an internet down load, is an important step towards encouraging him to watch his money grow. A list of online games is given to keep your child engaged with regards to increasing his first bank deposit.

From the age of nine years and upwards a young child is able to understand comparison shopping. Your daily trip to the supermarkets in your area will encourage this discussion, and the occasion that he chooses to shop for a particular item, will give you the opportunity to have more discussion. The use of an on-line comparative shopping site or taking the time to get out into the various shops available is a way of ensuring that he has the necessary knowledge to purchase the object after making an informed decision.

The early teens are not too young to begin to understand the stock market. By making a game of selecting a stock for each family member to follow, and then reading the financial news together to discuss how the stock values of each members choice grows or decreases daily, can be very entertaining.

Help your tween or teen set a budget on his given allowance to cover daily needs versus his very important WANTS.

Giving to charity needs to become part of any young child’s mentality. Teaching children to donate is more than just a financial lesson. Help your child decide how to make the decision of which charity is worthy of his hard earned cash!

So…start early, urge your children to save and help them set financial goals. Let children spend their money once they have achieved their goal. Try not to talk them out of the purchase. An empty piggy bank or banking account will give them the incentive to start all over again.

This list of available “free apps” may encourage financial maturity.

  • Pre-K skills
  • We’ve been to market lite
  • A Baseball Money Smash Hit
  • Money Origami
  • Allowance and Chore bot
  • Little Zebra Shopper
  • Cha-Ching Pocket Money Manager
  • Beep-Beep Cash Register
  • My Puppy Maths and Money
  • Pogo Pig Savings

An initiative taken up by Sonia Jansen at Crawford North Coast Preparatory School, was encouraged by a quote written by Bruce Barton “Sometimes when I consider what tremendous consequences come from little things, I am attempted to think there are no little things”

The project is pioneered by pupils, as part of a Leadership Programme. Pupils are divided into philanthropic teams and these teams include children from the intersen phase and one foundation phase member. The group also includes a teacher. This allows for both mentoring and mentorship.
The pupils collect 5c coins and this is to prove that something as insignificant and worthless as a 5c coin can make a difference. (Since 5c coins are no longer in production, a re-evaluation resulted in an inclusion of the 10c coin as well)

The funds raised are donated to charity or community development projects that have been identified, researched and proposed by one of the philanthropic teams.

The teams are responsible for driving the campaign. The benefits of a project like this give children the insight into and understanding of the demands of a needy community as well as learning to empathise for those less fortunate. It gives children ownership of their own researched projects as well as encouraging collaboration and co-operative working within a group. It is a pupil-centred approach in a real world environment. The 21st century pedagogy is married with technological savvy needed to complete the task and most importantly, gaining a recognition of the value of what we perceive as even the smallest or most insignificant of things and their worth.

So.. SMALL change can make a BIG DIFFERENCE! Together we can encourage our children to BE MONEY SMART.