Start Early

• Parents often assume that they should start teaching their children about money once they enter college, get their first credit cards or start their first job. Often, by then, it will be too late. It is never too early to start teaching children about money. In fact, toddlers can begin to learn the value of money by playing counting games or identifying currency.
  
  

Give Allowances

• Regular allowances are one of the best opportunities children have to learn about money. With regular allowances, children learn how to save for items they might like to purchase, how to put some money in a savings account that will generate interest as their balance grows, and how to be careful so that their money doesn't get lost or stolen. Children should have base allowances and also opportunities to earn more money if they perform household chores.
  
  

Emphasize Sound Money Concepts

• Children can learn sound money concepts such as saving for a rainy day, understanding the principles behind compounding interest, understanding the cost of using credit and working for money. You can also encourage children who wish to set up their own businesses to think about turning a profit instead of just running the business at a loss.
  
  

Make It Fun

• The more fun it is to learn about money, the more likely children are to be interested and to learn. Parents can make learning about money fun for children by playing money games, having children participate in creating and implementing household budgets, having children accompany them to work and having children set their own financial goals.