1. Start early.
It’s never too early to start talking to your children about money. Research has shown that kids as young as age 3 can understand basic money concepts, such as value or exchange.

It’s important for them to understand that credit cards aren’t magic, money doesn’t just grow on trees and you have to pay money to get things. Talking to kids early about money lets them know it’s a subject they can ask about.

Also, don’t panic if you have older kids and haven’t started yet. It is never too late to start teaching healthy money habits!

2. Make money lessons part of day-to-day life.
Today, we do a lot of our shopping and paying bills online, so it’s important to make an effort to show and tell – your kids about money by taking them to the grocery store or showing them how to pay bills.

Take the time to explain what you’re doing.

Involving your kids in basic money conversations (even if you feel like they don’t get it) will have a positive impact over time.

3. Talk about money choices, big and small.
Talk to your children about decisions that have financial implications such as daily bills, buying new clothes, getting a pet, buying a new car, and even buying a new home.

It’s important for them to understand how you think through making decisions about spending money.

4. Be mindful of tone and timing.
Be mindful that when you talk to your kids is less important than how you talk to them. Some topics may be more sensitive than others.

Remember that children absorb much more than just the words you say—they pick up on your emotions too. Start a conversation when you sense it can be productive and comfortable.