When Kids Ask for Money
- Spending is the number one money topic between parents and kids, according to Search Institute.1 Both parents and kids struggle with spending, overspending, and the desire to have more money. It’s a common tension in almost every household.
- Be intentional and consistent about money. For example, give a weekly allowance, providing the same amount of money each time. Be clear about what you will and will not pay for, or your kids might think you will pay for everything.
- Encourage family members to slow down their spending. For example, if someone gets a gift card or earns cash, try to get her to hold onto it for a while instead of spending it right away. Help family members develop ways to save and to be more intentional about what they spend their money on.
- Talk about money with your kids. Which spending, saving, and giving strategies have helped you manage your money? Where have you made mistakes?
- Model savvy spending habits. When you get upset, go for a walk instead of shopping. Don’t spend more than you earn. Ask each member of your family to model these habits, as children learn from all family members.
- Encourage family members to donate money to worthy causes, such as a food bank or an organization that works for a cause they believe in, such as saving endangered animals or helping the poor. Talk about the value of spending money to help others as well as spending money on yourself.
- Find more information on saving, spending, and other money topics in Kids and Money
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1. An Assessment of Financial Literacy Needs and Products for Low to Middle Income Youth and Families (Minneapolis, MN: Search Institute, 2008), unpublished report.
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