Key Takeaways
- Teach money skills through small choices suited to the child’s understanding.
- Practice spending, saving and comparing options in everyday situations.
- Use age-appropriate activities without promising future financial outcomes.
A child does not need an investing app to start learning about money. A small, real choice can teach more than a long lecture: spend now, save for something later or decide that an item is not worth its price. Match the activity to the child’s understanding and your household’s resources.
The CFPB’s Money as You Grow resources group activities by developmental stage, including young children, school-age children and teens. The activities here are original examples inspired by that everyday-learning approach. They are not a tested curriculum or a promise about a child’s future finances.
Young children: practise choosing
Offer a simple choice between two affordable options. Explain that choosing one means leaving the other for another day. Use pretend money if spending real money would strain the budget. A child can also sort pictures of things people need and things they might want, while discussing that circumstances differ between families.
Keep the explanation concrete: “We planned money for dinner. This toy isn’t in today’s plan.” Avoid making children responsible for adult financial stress. They can learn limits without hearing private debt details or feeling that the household depends on their choices.
School-age children: make a goal visible
Suppose a fictional child wants a $24 item and can put aside $3 each week. Starting from zero, $24 ÷ $3 = eight weeks. Draw eight boxes and fill one after each contribution. If the item’s final price includes tax or shipping, add those costs before setting the target.
If the child changes the goal, discuss the tradeoff rather than treating it as failure. Saving is also practice in revising a plan. You do not have to pay an allowance to use this exercise; tokens, pretend purchases or a small household project can make the same arithmetic visible.
Teens: compare the full cost
Compare two fictional phone plans: one costs $20 per month plus a $30 setup charge, and one costs $25 per month with no setup charge. Over six months, both cost $150 before other charges: $20 × 6 + $30 versus $25 × 6. The comparison changes if the period or included service changes.
Ask the teen to identify renewal terms, data limits, cancellation costs and what happens if a payment fails. If they earn income, practise reading a pay statement and distinguishing gross pay from money received. Use current official information for any tax questions.
Keep digital practice safe
Use sample figures instead of account credentials. Never ask a child to enter a parent’s banking password or share an authentication code. Before choosing an app or youth account, check age rules, adult responsibilities, fees, privacy and access controls. A paid product is optional.
Finish with one question
Ask, “What would you do differently next time?” Praise the explanation and the willingness to check a number, not the amount saved. Repeat one manageable activity during ordinary shopping or planning. The goal is practice with decisions, not perfect performance or comparison with other families.
General education for US readers. Examples are fictional. No first-hand product testing or credentials are claimed.
