Posted on June 3, 2022 Last Updated: September 4, 2025
Teaching kids to be responsible with money is a foundation that will last them the rest of their lives. The basic principles of personal financial management are often neglected in their high school years, which can lead to financial illiteracy as adults. Starting when they are young, you can instill sound financial management skills that will teach the value of money, the benefits of saving, and the importance of being wise with how they spend their money. We’ve put together a list of five things you can teach kids now, to get them started off on the right foot.
1. Money isn’t Magic – it’s Earned
Money management is a skill that is ever useful, and with many middle and high schools inadequately addressing money management, it’s important to set kids up with the tools to handle their finances one day. Kids need to understand that the ATM doesn’t create money, it’s your effort that does. Connecting work to money can help build respect and awareness.
2. Make Saving Fun
Saving doesn’t have to be a chore; encourage children to save up for something they really want and celebrate those milestones. Share your own financial wins and losses too, to show them that you’re human and help explain the reality of money.
3. Shop Smart Together
Teach your kids why people wait for sales (Black Friday, Cyber Monday, etcetera) when shopping. This will help them learn to compare prices, needs versus wants, and how to look for value in their purchases. These values can help them make more informed choices later on.
4. Teach Generosity
Instill a sense of fulfillment in your child’s dollars, by showing them the value of generosity. This can be as simple as rounding up their dollar at the grocery store or buying goods to support a local effort (think Girl Scout cookies). Showing your child the difference that their contributions can make will help them attach more value and respect to their earnings.
5. Practice What You Preach
Your kids pick up more than you think; they take mental notes when you sit at the kitchen table and budget, when you negotiate your phone plan, and your financial missteps. In turn, it’s important to keep your kids informed and be transparent about certain financial purchases. Think – “Oh, I splurged on a new television, so we’re going to be dining out less for the next few months.” This will help them attach real world examples to the tradeoffs of spending and saving money. Modeling smart financial behavior for your children is a great way to teach them.
KEMBA is Here to Help
Get your kids started on the right financial path with a youth account at KEMBA. Our youth accounts are designed to help kids learn the basics of managing their money and saving for big purchases in the future. To get started, contact our dedicated local associates to see how KEMBA can help. Call 614.235.2395 and select Option 4 for more information.