How Old Should Your Kids Be When You Teach Them About Money?

Short Answer:

As soon as they can count.

Long Answer: 

When my son was 11 he wanted a $500 Gaming Computer. I remember thinking “I don’t even buy myself a $500 computer so why the hell would I pay that much for him to pay games??” 

Most middle class parents would use this as an opportunity to know what “Santa” was going to get their kid for Christmas or offer it to them as a birthday gift, but in my mind this was a teachable moment. I made a deal with him – I said “ If you want that computer so bad, I’ll help you get it. You come up with the first half and I’ll put in the second half.” 

When he heard this, he was filled with confusion. “What??!” he asked.

“Yes. If you come up with the first half, I’ll come up with the 2nd half. So you only have to come up with $250” I replied.

“But how?? I’m a kid. I can’t work and no one will give me a job. It’s child labor!” he insisted. 

“You’re pretty creative. I believe you can do it” I said reassuringly. We began to brainstorm some ideas and I told him stories on how my brothers would make money when they were kids. 

Then I saw a fire light up in that little boy’s eyes. He went from a victim mindset to planning and plotting.  He came up with a genius game plan to sell cookies, brownies, gatorades, and water at the local park every day for months. 

I’d watch him bring his little cooler to the park and as he asked people, I’d watch some reject him (and it hurt my heart) and others buy from him (and it felt like a win for both of us). 

After a couple of months, he bought himself that gaming computer! The best part of this is that he was SO proud of himself because HE made this happen. It was a lesson in what he is capable of doing on his own when he really puts his mind to it. 

That is when I knew that we sell our kids WAY TOO short. 

So, when and how do we teach your kids about money? 

  1. What Age Is Best?

Learning how to make hard decisions when it comes to money can be taught as early as when the child begins learning what money is and how they can use it. A great example of this is when they have to start using lunch money for school, a book fair, or a field trip. If they are at an age where they can perform basic addition and subtraction, then they can understand basic budgeting principles. 

This means that if they’re old enough to ask for something, then they should be learning how to use it.

  1. Application & Practice 

An easy way to show a child how to spend with a plan is to give them a set amount of money, let’s say $20, and then take them around the mall. Explain that they can buy anything they want with it but once they run out, you will not help. You can also explain that if they choose to keep it and take it home, they can save it and use it another day if they’d like. It’s even better if you do this with siblings because they learn from each other. As they walk through the mall, they may want a toy and spend their money. Later they may get thirsty or hungry BUT you, the parent, can not chip in to buy them a drink or food. They now need to wait until they get home. Why? They chose what to do with their money and once it’s gone, it’s gone. 

So what happens if they mess up and run out of money? The answer is simple: do not help them. In real life if we run out of money do we get more because we want it? Nope. That is a lesson better learned early on at a mall experience than it is later on with credit card debt!

  1. Leading By Example

Like all concepts in parenting, the best way to teach your child a valuable lesson is to lead by example. You want your child to be money savvy, then you have to be money savvy as well. Learn how to budget, invest, plan, and create wealth. As you do this, your child will innately follow your lead. This is how generational wealth is not only created, but more importantly, kept. 

So, be smart with your money, bad habits like impulsive spending are going to be picked up by watching the parent. Be careful not to be too loosey-goosey with your money. Your child needs to see that you are responsible with your money and that you spend it with a plan. They will then adopt these behaviors. Experiential learning is the best way to teach kids and teach them by being a role model in your own finances. 


One mistake I see parents make is to discuss their own money challenges in front of their children. Children’s minds are very impressionable at this time and if the parents argue about money or stress about money in front of the child, it implants a seed of fear and anxiety around money into the child. This then is carried by the child into adulthood and then pros like me have to help them heal from it! 🙂 


I remember when I was broke and how TERRIBLE that feeling was. I would lie awake at night, my mind running, my stomach turning…the anxiety gave me insomnia. The 1st and the 15th were the worst days of the month; I didn’t know if my card would go through or if me and my son would have to be without electricity until my next paycheck. 

That is NOT a place ANYBODY wants to be, and if that is where you are, then I would highly advise you to sign up for a FREE CALL TODAY because NOBODY deserves to live like that and you are just a few tweaks away from seeing a complete Wealth Transformation. You’d be surprised how much just 30 minutes of speaking to AN ACTUAL LICENSED PROFESSIONAL could change your financial situation (P.S. it’s FREE).

Even if that is not you then keep reading because I know you will get something very valuable from what I am about to tell you…

After I made those initial changes in my mindset, my habits, and my career, I was finally able to CONQUER paying my monthly bills on time and even had money leftover to invest. However, there was a new problem…

Disclaimer: The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. All content on this site is information of a general nature and does not address the circumstances of any particular individual or entity.

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