How to Talk to Kids About Money

Money doesn't have to be a taboo topic. Here's how to have honest, age-appropriate conversations that stick.

At this age, abstract concepts like "budgeting" are meaningless. Use concrete examples:

"We trade money for things we need." Show them: You give the cashier money, they give you groceries.
"Money is limited." Use a clear jar with coins. "This is all we have for treats this week."
"We have to choose." "We can get ice cream OR go to the park. Which do you want?"

Now they can handle slightly more complexity:

"Why can't we buy everything?" Explain: "Mom and Dad work to earn money. We have to decide what's most important."
Involve them in small decisions: "We have $20 for dinner. Pizza or burgers?"
Show them bills (age-appropriate): "This is the electric bill. It costs $100 to keep the lights on."

Preteens can handle honest (but not scary) conversations:

"How much do you make?" You don't have to share exact numbers, but you can say: "Enough to pay for our house, food, and some fun stuff."
"Why do we say no sometimes?" Be honest: "We're saving for a family vacation. That means we can't buy new shoes right now."
Show them your budget (simplified): "50% goes to bills, 30% to food and fun, 20% to savings."

The Secret Weapon: Everyday Moments

You don't need a formal "money talk." Use these moments:

At the grocery store: "This brand costs $2 more. Is it worth it?"
Paying bills: "I'm paying the water bill. That's why we don't leave the faucet running."
When they ask for something: "Let's check your PocketJr balance. Do you have enough?"

The best lessons happen naturally, not in lectures.

PocketJr gives you a visual tool to discuss spending, saving, and goals with your kids.