Teaching your kids good money habits
Showing your kids basic financial skills such as how to budget, spend and save will help them establish good money habits for life. Here’s a few ways you can help your kids understand where money comes from and how it is earned.
Pocket money is a great way for kids to learn about earning money and help them understand the value of saving, budgeting and spending.
Earning money from small jobs around the home like helping you wash the car or clean the dishes, can help form your child’s spending habits and teach them about money decisions – like spending their money now or save it up for something bigger.
And once they save for whatever they want, they’ll understand the rewarding feeling of reaching their financial goals.
Your child’s first account
While pocket money is a great way to help kids top up their piggy banks, you might also want to think about setting up an account for your child.
Our Smart Saver Account is a great way to teach your child the importance of saving money for the future, as it rewards you for growing the balance each month. With no ongoing account keeping fees, the Smart Saver is a simple-to-use first account for children who want to start saving!
With branch, card or online access you can easily help your child manage their money and watch their savings grow. Plus, when you open a Smart Saver Account for your child, they will receive a Herbie money box to store their change until they make their next deposit.
Saving for a goal
Teach your child early about saving by setting a savings goal. Help your child set a savings goal, by drawing a picture of what they would like to save for. You can add some saving millstones to their drawing to help your child understand how much they will need to put away for their goal and when they will reach it.
Money Conversations you can have with your kids
Teaching money skills to your children is essential for their personal development, and helps them be able to address financial challenges they may be faced with in the future. It can be as easy as having simple conversations when performing everyday activities, such as teaching the importance of shopping around for the best price, saving for a rainy day, explaining how they can access their money using ATMs and EFTPOS, or prioritising key expenses such as bills and food before spending on luxuries.
For more tips and advice on talking to your kids about money visit www.moneysmart.gov.au
How banking works
Teach your kids that money doesn’t grow on trees by taking your child into your local branch with their Smart Saver account and show them how to make a deposit. This is a great opportunity to discuss interest earnings on their savings and how they could earn more money towards their goal. You can also log on to your internet banking if you are not able to reach a branch and show your child their account to keep them motivated.