Money Education for Eleven to Fourteen Year Olds

At this age, give larger allowances less often. Double the amount and give it every two weeks instead of every week. This will help them to plan and budget. Increase what they're responsible for buying, too, and introduce the subject of investing.

Start to set goals. Discuss saving for college or a first car. Consider matching amounts they contribute to savings to give an incentive to save. Explain the different ways to save such as with a savings account or a CD (certificate of deposit). Include in your discussion how to calculate simple interest and that rates may vary from bank to bank.

Have your children watch you pay bills. Make a pie chart showing where the household money goes, and include your children in your family budget talks.

Tune in to peer pressure and the desire for status purchases. At this age, your child is an ideal target for advertisers because they like new things. Discuss options.

 

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