Financial Intelligence for Kids
In an effort to keep toys from overrunning our home and at the same time teach the kids about personal finances we came up with a rule for toy acquisition. It goes like this:
When there is a new toy that they want, we find out the price. Then we go through their current toy inventory and find toys they no longer play with and determine how many we’ll need to sell to earn enough money to buy the new toy.
My son had a remote-controlled firetruck that was just sitting in the garage. His new love affair is with Legos. So we put his beloved fire truck up for sale on our local Facebook sale group so he could start earning money for Legos. He felt proud when he saw that people would pay him for his toys and that he was saving up for what he really wanted.
It really helped him understand that the things he wants cost money and that we have to earn that money to get what we want. It’s a small bit of knowledge but I hope it will build into something bigger and set him up for a financially solid future.