How to Teach Your Kids the Value of Money

Money doesn’t grow on trees.  That’s one fact which even most adults find hard to grasp.  Left and right, you’ll find people haphazardly spending their money as if they’ve just won the lottery.  They buy gadgets like there’s no tomorrow, and drown themselves in tall lattes from the nearest posh coffee shop.  If we were more cautious about our expenses the way we pay careful attention to the flyaways on our hair, then maybe we wouldn’t be so swamped in financial problems.

Before our kids grow up and get sucked in by all the consumerism, it’s good to start them early with good spending habits.   Here are some ways to teach them the value of money:

Grocery Game.  Before you head out for the supermarket with the kids, give them each a list of things to buy, and a calculator.  Ask them to find the lowest possible price for the items on the list, and the one who ends up with the cheapest total, wins.

It’s expensive.  When your kid asks you to buy him that cute Furby toy, tell him you won’t buy it because it’s expensive.  Give him a reasonable figure range for a particular toy, say $10-$20, and explain than anything beyond that is considered expensive.  Don’t say, “We can’t afford it“, because that tells your kid that if you could afford it, you would buy it.  You should make it clear to him that the reason you won’t buy it is because of its unreasonably high price, and not because you don’t have the money for it.  Just because you have money, doesn’t mean you should spend it.  It’s teaching him to make smart choices when it comes to buying stuff.

Piggy Power.  It’s time to bring out that dusty piggy bank and teach your kids to save.  Show them how dropping a dime into the coin bank each day goes a long way.  You can ask them what they want for Christmas, for instance, and encourage them to drop some money in the bank to save up for it.

It’s never too early to make your kids realize the significance of money.  More than learning about fractions and subject-verb agreement, it’s essential that they also learn how money has to be earned and saved.   The money lessons they learn now will serve them well into their adult years- and hopefully keep them from being buried in debt!

About Pepper

I am a single working mom, trying to raise my kid the best way I know how. Join me as I navigate my way through the jungle that is Single Mom-hood, armed with rose-colored glasses and strength of spirit. As pepper adds spice to food, so does my daughter add spice to my life. She makes life no less than…PEPPERRIFIC!

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  1. Hello and it is a pleasure to reach you.

    I am a God fearing woman who loves every person that comes my way. I will give you the shirt off my back if you need it.

    Today I come to you in need of a prayer and in nothing short of a miracle.

    I am a hard working college graduate/ongoing student, a founder of a non profit to assist young single mothers whom want a better life, and a mother of 3. However I have reached a low that nothing short of a miracle can help. I am not asking you to come out of pocket for anything, however I ask that you go to and simply share my story. That in itself is more than enough help.

    Its ironic I find myself in a place that God called me to deliver others from. I guess he saw fit to make sure my testimony aligned with my dream in such a profound way that I would really understand those that I intend to help and that it would mean so much more to me if I’ve been where they are. My story is one of complexity, much like myself…. but I know nothing is too much for God, so I keep faith.

    Its been my dream to assist single mothers who want to change their lives however don’t have the means to do so. I figure howelse can we change the wold unless we start with the children. When you have 14 year olds raising children and trying to go to school, something falls off without direction. I want to be that helping hand to make sure that whatever support is needed is offered to provide that child conceived a brighter future and the parent a fighting chance to fully provide for their family.

    Most people don’t understand what its like to not have anything, but lord knows I’m there now. I need nothing short of a miracle, but I have faith and I will keep praying hard.

    I had funding, and picked out a home to rent, however the funding source turned out to be, well a lets just say not existent. Issuing out false hopes, and pie crust promises. I want to call her a friend, but honestly I am too hurt to even utter the words, advised me that she was a blessing from God, and to trust her as she wouldn’t let me down.

    4 days before my move-in date, she advises me that no funds are available and there is no way she will be able to help and that it was my fault that I trusted her at her word. I need close to 20 thousand dollars to assist with my home lease that I’ve already signed a contract for and am now responsible for(it was for the entire year in advance as it was the only way the owner felt comfortable lowering the price on the home). If that isn’t bad enough, I have to pay that fee by 9/27. with nothing saved because I poured my all out on a non refundable security deposit to hold this home in good faith.

    It was my just having twins and getting ill that got me in this situation in the first place, and now after a devastating let down by a person I thought was a friend, my whole world is in pieces. If you can help that is great, ……no matter if its $1 or $1,000 all is appreciated if not thats ok too.

    Once again, I simply ask you to share my story with anyone you can, and to keep me in prayer. It would be a blessing if you can help financially but thats not my expectation of you. A share and a prayer from you is all I need to from you to make a difference. My link is on Go Fund Me at

    God Bless You!!!!


  2. I bought the Little One a piggy bank a few months back. Whenever I have some extra coins and when she find some loose change around the house, she places it inside. At this stage she doesn’t really understand pa the concept of money. So I think it’s best to start her the habit of saving before she understands the spending part. Hehehe! =)

  3. I am teaching my son reducing expenses makes goals come faster.It’s common sense, and kids are smart enough to figure it out: if I want to get to a goal faster, I have to save more … which means spending less on other stuff.

  4. Great blog.I have never seen this type of blog in website.

  5. Emily @ The Boom Works says

    I think, now that I’m 40ish that I will suddenly have a kind of revelation about money – that there will be some sort of lightning bolt that shoots down from the sky and teaches me the delights of savings and such. I wasn’t taught anything about saving when I was growing up – i was taught that if it was in my pocket that it was fair game. I’m thankful to folks like you who are talking about saving money and emphasizing to the kids that it’s actually something useful to do. Great suggestions!

  6. These are all good tips. I do well w/my youngest son & my daughter. I could have used pointers like these w/my older two years ago!! :)

    It really is important to teach them the value of money. Managing their money well is a skill they are going to need their whole lives.

  7. My son was able to learn the value of money at a very age. You’d be surprised to see a four-year-old looking at the price tags of toys. Haha! :)

  8. I will definitely apply this when I have kids na. Super ganda ng tips.

  9. Some great tips, thank you! Was only having the discussion yesterday about how to teach kids the value of money x

  10. Prashant Patil says

    Good article , i will teach my kids the value of money .

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