Activity 1:

Help your child to create his or her own budget.

• Ask your child to write down all the ways he or she receives money. Explain that this is income.
• Ask your child to write down all the things he or she typically buys. Explain that these are expenses.
• Have your child choose something that he or she would need to save money to buy, then build a longer-term budget around this item.

Activity 2:

Involve your child in budgeting for a family vacation.

• Discuss the expenses of the vacation, such as airfare, gas, lodging, food and recreation.
• Discuss the family's plan of saving money for this vacation, including how much will be saved from each paycheck and when the goal will be met.

Activity:

Talk with your child about your own income and how you earn it. Let your child know that an allowance is a form of income. Just as different factors affect your income, they also affect your child's income. These factors include:

• Age - The age of your child often determines allowance amount. Explain to your child that this is similar to how long a person stays at a company and along the way gains experience and expertise that is then valued at a higher amount.
• Purpose of Allowance - Just as we get paid for the job we do, your child gets paid for the chores he or she performs. Discuss any opportunities for your child to earn additional income through extra chores or a job well done, relating this to overtime or bonuses in the workplace.
• Expenses - Explain to your child what expenses he or she is expected to use allowance money or "income” for, such as movies, games, and candy.
• Payday – Designate one day of the week as payday and keep this day consistent. Also discuss different forms of payment and have your child choose a preferred form.
• Save, Share, Spend - Discuss with your child how to distribute allowance among Save, Share and Spend piggy banks.

Activity:

Next time your child wants to buy something, walk him/her through the steps of smart spending through prioritization:

1. Discuss how important the item really is to your child.
2. Discuss the cost of the item in a way your child will understand, such as saying that an item will cost two weeks of allowance or one week of extra chores.
3. Help your child understand that once he or she spends money on this item, that money is no longer available to be spent on another item.
4. Help your child comparison-shop at a few stores or online to find a better bargain.
5. Finally, allow your child to make the ultimate decision of whether or not to buy the item.

Activity:

The next time you sit down to pay bills, take this opportunity to teach your child important money management principles.

• Have your child help you sort your bills and discuss from which account each bill will be paid. This is a great time to explain the difference between a savings and checking account.
• Show your child where these expenses are in your family budget.
• Have your child write one of the checks or pay one of the bills online with you while talking through what a check is or how online bill pay works.
• After your bills are paid, have your child help you balance your checking account.
• A visit to the bank to deposit any remaining money in a savings account would be an excellent field trip to end this activity.

Activity:

Your child will be much more interested in sharing his or her money if the philanthropic recipient is an organization that promotes one of your child's interests.

• Determine what cause/s your child is interested in, such as pets, other cultures, wildlife, music, dance or your church.
• Use this interest to open the discussion of giving.
  • Help your child get involved in volunteering for a local organization that aligns with his or her interest.
  • Talk with your child about putting money aside to support this interest each time they are paid.
  • Explain to your child how this donation helps the cause and its recipients