Teaching a 6-year-old to save

Julie asked recently:
"How do you teach a young child (6 year old) how to save his money for larger purchases instead of spending it at the dollar store every time he gets a buck?"
Here are some tips on the subject that the folks at DisneyFamilyFun sent me a while ago:
--Let’s Talk about Money: Conversations to Go: The Game That Questions Money, is a game offers a mix of nuts-and-bolts problems (“How much do you think it costs to have a dog for one year?”) and more philosophical inquiries (“Does money buy happiness? How long does it last?”)
--Members of the Bank of Mom: Keep a small notebook to record a running balance for each child’s allowance. Track deposits (allowance and birthday gifts) and deductions (expenses and purchases). The “Bank of Mom” will teach kids how to budget and be prepared for spending and saving in our cashless society.
--Raising Savvy Savers: Put the kids in charge of clipping coupons. As incentive, let them keep half of whatever money the family saves, whether it’s 50 cents on laundry detergent or 50 dollars on a theme-park admission. Kids will quickly becoming smart shoppers!
--The Value of a Dollar: Small change adds up fast in this quick game involving money and nice but no gambling. Players take turns rolling dice and taking coins from a pile in the middle of a table according to what they roll. As players amass money, they must trade in small coins for bigger ones; the first to collect one dollar wins.
--Go on an Imaginary Shopping Spree: Give the kids a handful of catalogs and a make-believe budget, and send off on an imaginary shopping spree. Finding a hundred ways to spend a hundred imaginary dollars is great practice in subtraction and budgeting.
--These free websites teach financial smarts through fun and games:
Funbrain.com: Virtual shoppers must act as their own cashiers in this change-making game. Correct math results in rewards for a pretend piggy bank! (funbrain.com/cashreg).
The Bureau of Engraving and Printing: Kids can try a funny-money, design-your-own-bill activity and a catch-a-counterfeit security game on a virtual visit to the money factory.
Themint.org: For bigger kids interested in bigger bucks. The site offers readings and quizzes on money habits, and for the parents, the Perfectcents newsletters share tips and activities.
Beyond Monopoly: Besides Monopoly, these five money games (thought for older kids) are winners in teaching dollars and sense:
PayDay:Players weigh the merits of borrowing and investing and even gets bills in their “mail” cards. Ages 8 and up. Winning Moves, $18.
Pit: This noisy, century-old card game requires players to corner the market on various commodities through boisterous trading. Ages 7 and up, Winning Moves, $10.
Ka-Ching!: A basic intro to the stock market – two players try to buy low and sell high in this fun, quick strategy game. Ages 10 and up, Gamewright, $15.
Acquire: Kids try to control the biggest hotel chains, all while learning terms such as “merger” and “majority shareholder.” Ages 10 and up, Avalon Hill, $30.
I'll add one more -- the Great Piggy Bank Adventure, a collaboration between Disney and T. Rowe Price, is a fun interactive way for kids to learn about money. It's designed for kids 8 to 14, but I think some 6-year-olds might be ready for it. KS.
(Photo courtesy of istockphoto.com)















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