How I am teaching my three young kids about MONEY
As a mother of three children, I wanted to provide them with the valuable gift of financial literacy, something I wish I had received when I was young. Learning about money has been a journey for my husband and me, and we realized the importance of teaching children about finances from an early age, especially since it's not typically covered in schools. That's why we decided to homeschool our children and develop a system that has been incredibly effective for our family.
After reading numerous books and educating ourselves, we devised a practical approach. We created a list of chores for our children to complete, and they receive a weekly allowance for their efforts. Each child is aware of their designated payment, and upon receiving it, they divide the money into three jars: Save, Spend, and Share. Half of the money goes into the savings jar, while the remaining half is split equally between the share jar and the spend jar. The share jar allows them to contribute to charity, the church, or to gift someone, like a grandparent. At the end of each month, they can spend the money from the spend jar on toys or anything else they desire.
The savings jar serves a different purpose. Its contents are collected and deposited into the child's personal bank account, which we visit together so they can experience the entire process with a bank teller. This exercise has been part of our routine for the past three years and has significantly impacted our lives. Through this approach, our children have learned to research and read reviews before making purchases, they understand the concept of expensive versus affordable, and they have become self-reliant when it comes to buying toys and books. They have even treated my husband and me to dinner on occasion.
We have shifted our approach to buying toys as well. With the exception of birthdays and holidays, our children now purchase their own toys. We have found that this method instills a sense of responsibility and helps them make mindful decisions about their spending.
In summary, our system of allocating chores, providing an allowance, and dividing the money into save, spend, and share jars has transformed our family's financial mindset. We believe in the power of sharing knowledge and helping others, so we are open to new ideas that we can also share with our community. It is crucial for us to support one another in teaching our children or grandchildren about financial literacy. We hope our experience and the video we've shared will be beneficial to others. Thank you for taking the time to read this, and we welcome any feedback or suggestions you may have. Together, we can make a difference.
After reading numerous books and educating ourselves, we devised a practical approach. We created a list of chores for our children to complete, and they receive a weekly allowance for their efforts. Each child is aware of their designated payment, and upon receiving it, they divide the money into three jars: Save, Spend, and Share. Half of the money goes into the savings jar, while the remaining half is split equally between the share jar and the spend jar. The share jar allows them to contribute to charity, the church, or to gift someone, like a grandparent. At the end of each month, they can spend the money from the spend jar on toys or anything else they desire.
The savings jar serves a different purpose. Its contents are collected and deposited into the child's personal bank account, which we visit together so they can experience the entire process with a bank teller. This exercise has been part of our routine for the past three years and has significantly impacted our lives. Through this approach, our children have learned to research and read reviews before making purchases, they understand the concept of expensive versus affordable, and they have become self-reliant when it comes to buying toys and books. They have even treated my husband and me to dinner on occasion.
We have shifted our approach to buying toys as well. With the exception of birthdays and holidays, our children now purchase their own toys. We have found that this method instills a sense of responsibility and helps them make mindful decisions about their spending.
In summary, our system of allocating chores, providing an allowance, and dividing the money into save, spend, and share jars has transformed our family's financial mindset. We believe in the power of sharing knowledge and helping others, so we are open to new ideas that we can also share with our community. It is crucial for us to support one another in teaching our children or grandchildren about financial literacy. We hope our experience and the video we've shared will be beneficial to others. Thank you for taking the time to read this, and we welcome any feedback or suggestions you may have. Together, we can make a difference.
