Financial Literacy for Kids: 10 Effective Ways To Build Good Money Habits

Financial literacy means having the knowledge and skills to manage your money successfully and confidently.

These concepts are big and complex and may be too much for kids to understand all at once. That’s why it’s so important to start teaching financial literacy from a young age. Here are ten ways you can start building good money habits in your kids today:

Model Good Money Habits

Children constantly observe and learn from people and the world around them. Therefore, one of the best ways to instill financial literacy in kids is to model good money habits.

Teach Your Kids How To Save

Young kids might enjoy starting with a classic ceramic piggy bank. It’s fun for them to drop coins in the slot, hear the sound of the coins dropping in, then pick up the piggy bank to feel how full it’s getting.

Teach Your Kids the Basics of Investing

Kids can start learning the basics of investing from a surprisingly young age.

You can get them started with an investment account much earlier—perhaps as soon as they have some extra birthday or holiday money.

Help Your Kids Start Investing

As a parent, you can give your child an extra leg up by supplementing their financial literacy learning at home. There are plenty of ways you can weave this teaching into daily life.

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