Simple Ways to Teach Kids About Money

It’s never too early to start teaching kids about money. In fact, the earlier children begin learning basic financial concepts, the more prepared they’ll be to manage money wisely in adulthood. At TEG Federal Credit Union, we believe financial education should start at home, and it can be both fun and simple!

Here are a few easy and effective ways to introduce kids to money management:

1. Make Saving Fun
   Introduce your child to the concept of saving with a clear jar or a colorful piggy bank. Every time they receive money, whether it’s from chores, birthdays, or allowances, encourage them to put a portion into their savings jar, Watching their money grow over time can be exciting and motivating!
2. Open a Custodial Account
   A custodial savings account is a great way to give your child a more hands-on experience with saving. With a custodial account at TEG, you maintain control while giving them a safe place to grow their money. It’s the perfect first step toward teaching financial responsibility and the importance of building savings over time.
3. Use Real-Life Examples
   Involve kids in everyday financial decisions. At the grocery store, you might explain why you choose one product over another based on price or quality. Let them help you clip coupons or check sale prices. These small moments offer big lessons.
4. Set Goals Together
   Help your child set a savings goal, like buying a toy or a game. Break it down into manageable steps so they can see how their efforts pay off. This teaches patience, discipline, and the value of working toward something over time.
5. Teach Needs vs. Wants
   It’s important for kids to understand the difference between needs (like food and clothing) and wants (like toys and treats). Talk openly about budgeting and prioritizing needs before spending on extras.
6. Play Money-Themed Games
   There are plenty of fun board games and apps that teach money skills in age-appropriate ways. Games like Monopoly of The Game of Life can spark conversations about saving, spending, and budgeting.

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Bonus Tip: Let TEG Help!

Did you know we offer tools that help families build financial wellness? With our partner SavvyMoney members can access credit score education, budgeting tools, and more, all in one place. It’s a great resource to explore together when your child is ready for more advanced money topics!

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Final Thoughts

Teaching kids about money doesn’t have to be complicated. By starting early and using everyday moments as learning opportunities, you’re helping build a strong foundation for their financial future.

Interested in opening a custodial account for your child, or learning more tips to get started? Stop by one of our nine branches today!

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