How to Teach Kindergarteners the Value of Money

Encourage your child to put money in a piggy bank.

Many young children do not understand how hard their parents work for their money. When they go to the store with their parents, they often ask them to buy every toy they see, not thinking about how much money it costs. This is why it's never too early to start teaching your child the value of a dollar. Start teaching your children the value of money as early as kindergarten, so they make responsible financial decisions when they get older.

Instructions

1. Give your child a weekly allowance. Have your child do age-appropriate chores around the house to earn the money such as cleaning his room, raking leaves in the backyard or dusting furniture.

2. Encourage your child to save the money she earns. For example, if she wants a new toy, advise her to save part of her allowance money. Once she has enough money for the toy she wants, she will recognize the benefits of saving money.

3. Teach your child the difference between wants and needs. Explain to him that some things are essential for survival, while other things are just luxuries. Tell him that it's important to buy needs before wants. For example, let him know that buying food is more important than buying a toy or a bicycle.

4. Teach your child how to count money. For example, explain to her that a quarter is equal to two dimes and one nickel. If she learns how to count money, she is more likely to understand its value.

References

• PBS: Teaching Children About Money
• Family Education: 15 Ways to Teach Kids About Money