I remember back when my weekly allowance was $3.50. Each Friday, I’d wait with my hands outstretched for those crisp, $1 bills and two shiny quarters (yes, this was before the introduction of the Loonie!). My payday was contingent on me completing my weekly chores, including washing the dishes, feeding the chickens and more. So how did you learn about the value of money? Did you work for your allowance, or was it automatic?
Here are some tips from the Financial Consumer Agency of Canada (FCAC) about age-appropriate money lessons. For the full list, visit their website. We understand there are a lot of different methods for teaching children about money – we’d love to hear your tips in a comment below!
Ages 4 to 8:
- Divide allowance up to meet goals of saving, spending and sharing.
- Understand there are choices when it comes to money: money spent on one thing means less money available for something else.
Ages 9 to 14:
- Recognize the difference between a need and a want.
- Create a savings plan to meet short-term and long-term financial goals.
Ages 15 to 18:
- Understand the pros and cons of different payment options, such as cash, debit cards and credit cards.
- Learn the concept of “living within your means” and why it is important.