Teaching money matters to children is not a common practice for parents in the Philippines. Many of us grew up thinking that money matters are something that only Daddy and Mommy should mind. But if you’ll think about it, financial management is a personal skill that every person should possess. The time will come when our children will have to manage their own salaries, run their own businesses, struggle with their own debt and try to build their own retirement funds. When that time comes, Daddy and Mommy can’t do the Math for them.
Teaching people the right way of handling money matters should begin as early in life as possible. For instance, it is easier to instill the value of saving money to children than to adults who already have opinion of their own. As parents, I believe that it is our responsibility to encourage activities that promote financial literacy in our children.
But of course, teaching money matters to kids isn’t as simple as teaching Finance to college students. We must look for activities that will introduce money management to kids in a fun and engaging way. Here are some ideas for parents who want to teach their kids about saving and growing money:
Let your child be a Kiddo-preneur
Let your child become an actual entrepreneur at an early age by joining the Kiddo-preneur activities. Kiddo-preneur is a venue where children could learn about business and entrepreneurship first hand, through practical experience. Through its events and initiatives, Kiddo-preneur teaches kids how to earn, save, invest, and donate. Apart from that, the Kiddo-preneurs also learn:
- to develop an entrepreneurial drive and spirit
- the values of hard work and perseverance
- about healthy competition
- to think out of the box
- and that business can be fun and rewarding
This Christmas season is a great opportunity to teach kids that earning money can be more fun than just spending the “pamasko” they receive. Let your little entrepreneurs sell their goodies and services at the Kiddo-preneur events in Uptown Mall, BGC and Alabang Town Center.
Bring your child to Kidzania Manila
KidZania Manila is a safe, unique, and interactive environment where children aged 4-17 can discover, explore, and learn about the adult world – in a kid-sized city built just for them!
And yes, the “adult world” includes a lot of dealing with money matters. KidZania Manila has a unique financial literacy program that’s suitable for children – the KidZania Economy. Upon each visit, children are given checks for 50 kidZos (KidZania’s own currency, in place of Peso), which they can save in the bank or spend on different products and services available at establishments in KidZania Manila. The children can earn more kidZos if they want to by working in establishments in the play city. Through play, the children are taught the value of work and the importance of knowing how to save and spend hard-eaned money.
Open a kiddie savings accounts for your child
I remember my Mom asked me to open my piggy bank (alkansya) when I was nine years old. I asked her why, and she told me that we would keep it in the bank so I can save it for future use. The thrill of doing new things like watching the teller count my own money and writing down on the deposit slip made me excited. I felt like an adult in a little girl’s body! 😊 Plus, the bank where we deposited my money had cute little freebies for their “bulilit savers” like pencils, towels with cute designs and a passbook that looked so kiddie yet was soooo real. That experience started my habit of saving money.
While saving money for your child in your own bank account is good, there is also wisdom in letting your child manage his own money. Whether it was a cash gift from his generous Ninong or savings from his daily allowance, your child can be taught how to deposit his own cash to a savings account. It doesn’t matter if you start with small amounts. What’s important is your child gets introduced to the concept of saving money and making it grow.
Here are some local banks offering special savings account for kids:
Teach money management through play
Back in the 90s, Monopoly was the “in” board game of young people. It teaches players the concept of buying, trading and developing properties. Yes, I loved the little red hotels and green houses you can place on top of your property. Board games like this are an effective way of introducing money matters to school-aged kids. Other money-related board games you can try to play with your children are Cash Flow 101 and Stockpile.