Do you want your children to be financially literate but you lack ideas how? If YES, here are 10 best fun activities that will teach your kids about money fast
Today, many individuals and businesses are wallowing in a mire of financial problems due to little understanding of money and poor money management skills. Unfortunately, schools don’t teach how to manage money, so the trend will most likely continue unless parents start teaching their kids about money right from a tender age. If you are looking for fun activities that can help teach your kids about money, here are ten great ideas.
10 Best Fun Activities That Will Teach Your Kids About Money
1. Create savings account for your kids
Take your children to a bank or credit union to open their saving account. This will encourage them to form the habit of saving at an early age and also teach them the importance of doing so. However, each time they want to withdraw some portion of their savings for a purchase, don’t refuse them because that will discourage them from saving at all. With time, your children will come to realize that savings is one of the keys to financial success.
Another way to teach kids about money is to encourage then to make money on their own. Now, it doesn’t have to be big money—just some little cash would do. This will not only educate your kids about the art of making money, but it will also empower them and boost their confidence.
A good business idea for this purpose is a lemonade stand, which even comes with the added benefit of encouraging teamwork. One child can handle the money while the other hands out the cups to customers. Selling used clothes and other items at a local flea market is another idea.
3. Go on regular shopping trips
This might sound strange, but shopping trips can be great opportunities to teach kids the value of money. Going to the Grocery Store is usually a child’s first spending experience—because about one-third of our income goes to grocery and household items.
Spending smarter at the grocery store can help you save over $1,500 a year for a family tour. And you can help your kids understand this lesson by demonstrating how to plan economical meals, avoid waste, and use leftovers efficiently.
Spending money can be an interesting and productive activity when it is well planned and done carefully. Practicing this right in front of your kids is the best way to pass the message to them.
4. Allow your kids to make spending decisions
Children are always excited when they are allowed to handle things that ordinarily shouldn’t be done by them, such as making spending decisions. But your goal here is not just to make them excited; it’s to make them learn from the spending choices they make—whether good or bad. Encourage them to use common sense when buying. That is, doing research before making major purchases and waiting for the right time to make purchases.
5. Set a family savings goal
If your child is dying to go on vacation to Venice or somewhere in the Carribean, use that opportunity to teach them about money. How? You can agree on a long-term goal and start saving the money you need for the vacation in a jar. Encourage your children to contribute part of their allowance to the “Family Vacation Fund“—and don’t forget to lead by example.
By successfully using the contributing all the money you need to take your kids on vacation, you would have taught them that saving over time is the best way to achieve a long-term goal.
6. Volunteer and donate as a family
Another lesson you need to teach your kids at a very young age is that some people have more than others—and that those who have more can help those with less. There are many things you can do to teach your kids the habit of giving. These include shopping together for food and delivering it to a local food pantry, or contributing money as a family and donating it to an orphanage in your locality.
7. Hit a yard sale
There are usually lots of kids stuff on sale at yard sales. Your younger kids will love to pick out a book or toy at the “outside store.” And your older children will quickly realize that their allowance can buy more here than it can do at the mall. Taking your kids to a yard sale is a good way of teaching them that there are always places where they can get things for cheaper costs–and that not everything has to be bought at the mall.
8. Give your kids a jotter each
Noting down your income and expenses is a good way to track your finances and help yourself stay within spending limits. So, the skill of keeping good records of money saved, invested, or spent is another important one you must teach your kids. And one of the easiest ways to achieve this is to each kid a jotter for recording all income and expenses.
9. Tell stories
As with everyone else, kids love stories. They are always excited when stories are told to them, and they usually listen with rapt attention. Taking advantage of their interest in stories, you can teach your kids about money by telling them stories of successful entrepreneurs. At the end of each story, tell them the lessons they are meant to learn, since most kids won’t be able deduce the lessons on their own.
10. Play games-: Encouraging your kids to play games that teach money skills can help you teach them multiple lessons about money. You can find many of these games online by checking sites like MoneyandStuff.info. Board games like Monopoly or Life are also good for teaching kids about money.