TOPIC:

Teaching kids to spend money responsibly

RESOURCES NEEDED:

Felt, scraps of material, needle, thread, zipper, buttons, snaps, etc. (depending on the pattern chosen for the purse)

LEARNING OPPORTUNITY:

A great way to teach kids about responsible spending is to let them have some control of their own “pocket” money. By allowing them to have control over their own money they are learning how to make decisions about spending money. The important lesson for them to learn is that once a choice is made, their money is gone and they will have to wait until next week before they will get any more money.

THE ACTIVITY:

• Explain to your child that together you are going to make a coin purse to keep some “pocket” money in and you will give them a certain amount of money each week to keep in their purse. When you go shopping they will take their money and they will decide how to spend it.
• Open one of the following websites to find a coin purse pattern to make together. (There are many choices at these websites, choose one depending on the level of difficulty you wish and the materials you have to available to use.)
• Talk to them about their choices. Help them compare prices. They may choose to buy an inexpensive item each week, or they may choose to save their money for several weeks to buy a more expensive item.
  • https://www.allfreesewing.com/Bags-and-Purses/Cutest-Coin-Purse-Pattern-Ideas
  • https://www.thebalanceeveryday.com/how-to-make-a-denim-pocket-purse-1388064
  • http://tipnut.com/coin-purse-patterns/

TIPS:

• Resist giving them more money if they do not have enough to buy an item. They need to learn that sometimes you have to wait and save up to get something you really want to buy.

FOLLOW UP IDEAS:

• Teach your child how to earn money. If you child wants to save up for a particular item, allow her/him to do odd jobs or extra chores around the house.
• Consider opening up a bank account so they can see how their money can grow.

WEBSITES:

• Consumer Agency of Canada – http://www.fcac-acfc.gc.ca/eng/consumers/lifeevents/teachchild/index-eng.asp
• An article about teaching kids about money – http://hubpages.com/topics/personal-finance/family-budget/teaching-kidsabout-money/3990