Money Lessons for Kids
Proverbs 22:6 reads, “Train a child in the way he should go, and when he is old he will not turn from it.” The question is, what should that training entail?
Sharing the Gospel is obviously a priceless lesson for our children, but teaching them to manage money God’s way is perhaps the next most valuable gift you can give them.
Start with a simple budgeting system: one third for saving, one third for giving and one third for spending. The goal is they’re learning to manage their own money. Once they realize that money is limited, they’ll begin to spend it more carefully.
Encourage them to tithe, putting their own money in the collection plate, also to give something to missions and other ministries of their choosing. Guide them, but let them make their own decisions.
Saving might be for a video game or clothing, eventually even a car or college. Some of the money your children will receive comes from birthday and Christmas presents, but for the most part, it will have to come the old fashioned way, by earning it.
Giving them an allowance is fine, but attach regular chores to it, such as making their bed or helping with the dishes. Reward them with money but also praise them for keeping their part of the agreement. Should they fail to complete assigned chores, calmly tell them that some or all their allowance is withheld until the task is complete. That’s a “real world” experience.
You can also set up a “job list” for the kids with dollar amounts specified for certain tasks. This is above and beyond allowance. For example, rake the yard with a dollar amount attached. The harder the work, the more it pays. Then let them choose which tasks they’d like to do. Before long you might have a very hard-working youngster on your hands.
It’s also important to never reward whining or begging. That’s a tough habit to break once a kid learns that it works.
If your child desperately wants something, set up a plan to earn and save for it. The going may be difficult at first, but soon enough most kids learn the system and do well with it. Remember that praise is as important as money. Encourage them along the way.
While teaching the “hands on” aspects of managing money God’s way, you can share verses that underscore those principles. Isaiah 54:13 reads, “All your children shall be taught by the Lord, and great shall be the peace of your children.”
On God’s provision, Philippians 4:19 teaches “My God will supply every need of yours according to his riches in glory in Christ Jesus.” God is our provider and He will always provide for our needs, but He never promises to give us everything we want.
On faithfulness, 1 Corinthians 4:2: “Moreover, it is required of stewards that they be found trustworthy.” Every financial decision is a spiritual decision. Use money wisely to glorify God.
On work, 2 Thessalonians 3:10: “For even when we were with you, we gave you this command: ‘Those unwilling to work will not get to eat.’” Obviously, you will always feed your children, but teach them the value of work and that all work is honorable.
Encourage generosity. Hebrews 13:16 teaches, “Do not neglect to do good and to share what you have, for such sacrifices are pleasing to God.” Giving breaks the power of money over us, another critical lesson for your children.
Teach your children these priceless principles and they will grow up to be faithful stewards, using God’s resources wisely to advance His Kingdom.