Teaching Grandchildren To Be Smart With Money

money



It's never too early to teach your grandchildren how to spend and save. Now you can get 20 money lessons for children of all ages from a new federal website called   Money as You Grow.

Three- to five-year-olds  are taught  the difference between spending money on wants versus needs.  Kids ages six to 10 are instructed to comparison shop to get the best price and to avoid sharing personal information online.

Saving for college and comparing college costs are highlighted for kids ages 14 to 18. For those 18 and up, one money lesson involves paying off credit cards each month to avoid interest and overspending.  Other tips for the older set: Get health insurance, build some emergency savings and invest wisely by avoiding fees and managing risk.

Each lesson comes with suggestions for activities, such as letting a youngster decide whether to buy cookies or fresh fruit at the market with limited spending money. Older kids are advised to get a free annual credit report and to learn all about credit card rules.

The site was developed by the President's Advisory Council on Financial Capability, which was created in 2010 with a mission to help the President promote financial literacy and capability among the American public.

photo credit: 401k at flickr.com

Search AARP Blogs