Teaching Your Kids to Save, Spend, and Share

Teaching Your Kids to Save, Spend, and Share


Updated:  11/17/2017

Teaching your kids good financial habits won't require sitting down with your tax return or paycheck. And you definitely won’t rob them of their youthful innocence. Actually, you may make it better. According to an Everfi survey, 79% of teens are looking to their parents, not teachers or friends, to learn about money.


Practice the save, spend, and share method to help teach good financial habits:

Save. It’s a habit adults and kids alike can and should do more (A GoBankingRates survey shows 7 in 10 Americans had less than $1,000 in their savings). Teach your kids to put away 50% of the money they receive to use later or for something they plan to buy. Our Earn & Learn Savings Account is a great account for young savers. It will help them reach their savings goal while they learn the valuable lesson of saving.

Spend. It's the easiest step and may seem self-explanatory, but unrestrained spending can undo good saving habits as quickly as your kids bolt from doing chores. Teach them to make purchases wisely. Spending should take no more than 30% your total saved. It can go towards whatever they want, but when it’s gone, that’s it until they can save up more.

Share. Donating to a worthy cause should feel as good as spending it. Teach your kids to donate wisely. Whether it’s a dollar in the church offering or selecting a charity or cause, try to show saving and spending are great, but it’s also important to give! Target about 20% of their money for causes they believe in and those in need.


Think you’ll flub the talk or you’re not sure what to talk about?  American Eagle Credit Union offers a number of interactive learning modules covering a range of money topics: How to Save, Building Emergency Savings, Checking Accounts and more! Visit the Helpful Resources section on our site to view these and others.

When it comes to money lessons, you don’t have to be Warren Buffet, just starting the conversation is important. Remember, if you don’t know how to start teaching your young ones about money, turn to your Credit Union. We offer a variety of youth accounts that earn interest and come with various incentives.

Thank you for your thoughts and comments on this blog topic. We welcome hearing from you. For your security, please do not to request transactions to your account in your comments. Additionally, do not include confidential information in your comments as this communication is not a secure channel for transmission.