In a recent survey by Fidelity, 67% of parents said they do not feel “well-prepared” to talk to their children about personal finance. This includes topics such as credit scores, budgeting, and investing.

At Poppy Bank, we are committed to helping families start these important conversations. Whether your child is just starting elementary school or preparing to head off to college, it is never too early or too late to build strong financial habits.

Ages 5-8: Start with the Basics

A helpful concept to introduce at this age is “Save, Spend, Give.” This simple method helps young children understand the value of money and how it can be used for different purposes.

1. Use three clear jars or containers and label them Saving, Spending, and Giving.

2. Work with your child to set simple goals. For example, once the Giving jar reaches $25, they can choose a local organization to support.

3. Identify ways they can earn money, such as completing chores, earning good grades, or showing a positive attitude.

4. Once a savings goal is reached, such as purchasing a new toy, help them set a new goal to keep the habit going.

Pro Tip: Visiting a local Poppy Bank branch can also be a valuable experience. A short trip to see how banks work can help children feel more connected to the idea of saving and managing money.

Ages 9-13: Budgeting with Purpose

Middle school is a great time to reinforce budgeting skills and introduce the idea of how money can grow through saving and interest.

· Give your child a budget for school supplies and let them shop with the list. This builds skills in planning, decision-making, and cost awareness.

· Teach the concept of compound interest in easy-to-understand ways:

1. Flywheel Analogy: Saving money is like pushing a heavy wheel. It takes effort to get started, but with consistency, it gains speed and power over time.

2. Penny Doubling Challenge: Ask your child if they would rather have one million dollars today or a penny that doubles every day for 30 days. This fun exercise illustrates how compounding works.

3. Set Savings Goals and Project Growth: Show how a small amount saved regularly, like $10 per month, can add up over time. Use a calculator or a financial app to model growth.

Pro Tip: Using a visual tool like the Poppy Bank mobile app can make these lessons even more impactful. Children can see how deposits add up and how their money grows over time.

Ages 14 – 18: Building Financial Independence

As teens approach adulthood, they are ready to take on more responsibility and begin making financial decisions of their own.

· Consider adding your teen as an authorized user on a credit card. Be sure to establish clear spending rules. This can help them begin building a credit history while learning responsible usage.

· Encourage the use of apps or online banking tools to track spending, savings, and financial goals. The Poppy Bank app is a great way for teens to visualize their habits in real time.

· Support your teen in finding a summer job or small business opportunity. According to a recent report, 41% of Generation Alpha kids are already setting savings goals for long-term milestones such as a first car, college, or even retirement. Encouraging your child to earn and save helps reinforce the value of financial planning.

Why It Matters

Financial education at an early age can lead to long-term financial confidence. Studies have shown that young people who receive financial education are more likely to create budgets, plan for future expenses, and avoid debt. These foundational skills can shape their success for years to come.

The back-to-school season is a perfect opportunity to build strong financial habits in your children. These habits will serve them well now and into adulthood.

At Poppy Bank, we are proud to support families at every stage. Whether you are opening your child’s first savings account, setting up a student checking account, or simply looking for guidance, we are here to help you raise financially confident and capable young adults.