Auburn Savings Bank
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Question: My kids don’t take care of their money that they earn for allowance. I find it lying all over the house, some in their piggy banks, some shoved in wallets left here and there around the house and in the car. How do I get them to see the value in money and the importance of taking care of it?
Answer: Teaching children the value of money is a process that can start when they are quite young and continue through their high school years. Ultimately when your child reaches adulthood, you want them to be prepared to face any of life’s financial challenges.
Where to Start?
Young children will benefit from seeing how you safely secure your own money. Money can be an abstract concept to many children. Explain how and why you keep your cash and debit/credit cards secure.
As you purchase goods and services, explain how you used the cash in your wallet or your card to make the purchase. Explain consequences for your family if you didn’t make sure your money was safe and secure. Ask your child what they think would happen if you showed up at the grocery store without cash or debit/credit card to pay for your purchases? Would the store let you take the groceries?
Help your child connect the items purchased to actual dollar amounts. An easy way to do this is to have your child assist with reviewing the receipt on the drive home. Ask them how much did their favorite box of cereal cost? How about the container of ice cream? These connections will help make the concept of money a little less abstract.
Help Your Child Set a Special Goal
Work with your child to determine a special goal they would like to save their money for. Maybe it is a toy they keep talking about or for a special activity. Determine where your child will save the money for their special goal such as a piggy bank, empty jar, or a shoe box. Your child may enjoy decorating their savings vessel making it uniquely their own. When money starts to accumulate, it might be the right opportunity to talk about the safety of a savings account at a financial institution.
Auburn Savings has such an account to help teach kids to be responsible with their money. The KidsPlus Savings Account is an idea-first bank account for children and will help them focus on savings, responsible spending and giving back to the community through charitable donations.
Part of the fabric of Lewiston-Auburn since 1887, Auburn Savings provides financial products and services for individuals, families, businesses and the shared community we call home. Visit us at auburnsavings.com
