What Money Means to a First Grader

Making Cents Or Making Sense? Tips to encourage smart money handling in First Grade.

What You Need To Know

The best way to teach children to develop sensible money habits is by doing the same yourself. Although there’s no set way to manage finances, your children will watch carefully the way you handle money. By First Grade, most children already understand basic money concepts – including how they’re planning to spend it! Just remember to be cautious when you respond to their early spending. Although you may not say anything, your facial expressions may give away how you really feel. When they spend money sensibly, praise them. This will encourage smart money management in future. 

How You Can Help

1. Wishlists. Go through a magazine or store catalog with your child and compile a list of the items they need and want. Are the two lists the same? This activity may help to teach children that it’s not always possible to have everything.
2. Shopping. When you both agree on what a child needs (it could be a school backpack or a new set of paints), give them a certain sum and go shopping together. Matching products against a budget is a handy way of teaching basic money management.
3. Cards. For Mother’s Day or Grandpa’s birthday, make a card instead of buying one. Not only will your child bring pleasure to a family member, but he or she will also learn that it’s sometimes cheaper to make things yourself. 
4. Pretend. Play grocery store at the weekend. Raid the fridge, then ‘buy’ and ‘sell’ the vegetables. This will educate your child about using money to buy things.
5. Coins. Collect a dollar bill, 4 quarters, 10 dimes, 10 nickels, and 10 pennies. Then use the coins to illustrate value. One dollar equals 4 quarters, or 10 dimes. As your child becomes familiar with the basics, mix up the coins to create different sums.

For more information on teaching money concepts in First Grade, please see the full article:

http://www.education.com/reference/article/money-concept-parent-first-grade/