How to Talk to Your Children About Money

SeedlingsGroup Co-Founder Bronwyn Charlton, Ph.D talks to Town & Country about kids and money. What are the new answers to age-old questions?

"You should give them a weekly allowance that has the sole purpose of teaching your child about money management. Most kids want everything they see. But if they have a finite amount to spend, they learn quickly about impulse-buy regret, saving, and being thoughtful about purchases,” says developmental psychologist Bronwyn Charlton, co-founder of the Seedlings Group.

An allowance should be divided into three categories: spend, save, donate. “The spend jar can be spent on anything they want,” she says. “The save jar is to teach about saving and delayed gratification. It sets them up for success.”

The donate jar comes into play once kids are eight and older. Charlton recommends that parents use it to get their children excited about tangible ways they can help others in need.

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