Money Smart Kids Ages 6-10

SVDCU wants to share tips for teaching children good habits about money management. The information was originally published in Smart Parenting - Money Smart Kids.

By age 6, your kids will be ready for an allowance. Begin to stress the importance of saving and help them set specific savings goals, such as a computer game or a new bicycle. Start a savings bank at home for your kids and remind them to add to it regularly. When they're ready, usually at age 9, take them to your credit union to open a savings account. Then, take them each month to make a deposit in their account.

Need vs. Want

Help your 6 to 10-year-olds understand the differ­ence between wants and needs. They often find it hard to resist spending all their money at once on things they don't need. Explain that it's fun to indulge in luxuries now and then, but buying stuff on impulse can leave them with no money when some­thing really important comes along.

But Everyone Else Has It!

A common struggle for parents occurs when their kids want everything "all their friends" have. Reinforce the notion that it's OK and even good to be different. Never feel guilty about not giving your kids everything on their wish list. They can definitely live with­out the latest cool toy or trendy sneakers, and probably will soon get over wanting these things— especially if their home is rich in love, respect and affection—the things kids really need.

Get Them Involved

Start involving your kids in real-life lessons about money. Give them a short list of grocery items to buy, but set a spending limit in advance. They can do their shopping while you do yours. Also, include your kids in family discussions about financial matters. For example, have them help you plan the family vacation: Should you camp or stay in motels?

You can teach your children how to save money by partnering with SVDCU. Open an account today with a minimum deposit of $10.00. They then become a member of the "Very Important Kid" Club.

Money Smart Kids - Ages 3-5

SVDCU wants to share tips for teaching children good habits about money management. The information was originally published in Smart Parenting - Money Smart Kids.

Ages 3-5

The time to begin teaching money-management skills is whenever your kids start showing curiosity about money. Start by explaining what money is. Money can be defined as anything a group of people accepts in exchange for goods or services. Let your preschoolers handle different coins and bills, and point out the values of each. Show how money is exchanged for other things by playing "store" or "restaurant." Basic math skills are essential to money management, so make sure your kids have a strong math foundation. Play counting games and board games with play money to build math proficiency.

Build Responsibility

When your kids start kindergarten, start talking about adult obligations relating to money. For example, tell them why you go to work every day, and allow them to visit your workplace. Talk about other jobs people have, and point out workers you see (such as wait staff or police officers). Show your kids a check you wrote and explain that it func­tions as payment, just like money. Take them to the credit union and ATM and demonstrate making deposits and withdrawals. Show them your monthly utility bills and how you pay them by writing and mailing a check. At tax time, explain how you have to submit a tax form. All of these activities will form a foundation for your children's money responsibility.

You can teach your children how to save money by partnering with SVDCU. Open an account today with a minimum deposit of $10.00. They then become a member of the "Very Important Kid" Club.

SVDCU at the North American International Auto Show

The 2011 North American International Auto Show is set to open January 10, 2011 with the Press Preview and the public show will run Jan 15-23 at Cobo Center. The show also includes the annual Charity Preview sponsored by the Detroit Auto Dealers Association which raises millions of dollars each year for local children’s charitable organizations.

Sterling Van Dyke Credit Union is a proud advertiser at the show. If you visit, look for our commercial. Here is a sneak peek.