With over 28 years in private wealth management, I’ve worked with multiple generations of families, helping them secure their financial futures. One of the most rewarding aspects of my work is watching parents not only build wealth—but also pass down financial wisdom to their children. And that’s where one of the most important conversations begins: how to teach kids about saving and investing.

This topic isn’t just close to my heart as a financial advisor—it’s also deeply personal to me as a parent. If we want our children to become confident, financially independent adults, we must start early. And the good news is—it’s never too early or too late to begin.

Here’s how I guide families on introducing kids to saving, investing, and building a healthy relationship with money.

Start With Saving: The Foundation of Financial Literacy

Before we get into investing, it’s crucial to lay a strong foundation with basic savings habits. Teaching kids how to manage what they earn—or receive—is the first step toward long-term wealth.

1. Use Clear Jars or Digital Tools to Visualize Savings
   Young kids especially benefit from being able to see their money grow. Whether you use labeled jars for “Save,” “Spend,” and “Give,” or an app designed for kids, the visual reinforcement helps them understand that money is a finite resource that can be managed.
2. Tie Allowance to Chores or Effort
   One way to teach kids the value of money is to link it to effort. When they understand that money comes from work—whether it’s washing the car or mowing the lawn—they begin to view spending decisions differently. It encourages gratitude, discipline, and decision-making.
3. Set Simple Goals Together
   Help your child identify something they want to save for—maybe a toy, a game, or an experience. Then, help them break down how many weeks it will take to reach that goal based on their allowance or earnings. This makes the process tangible and motivating.

Introduce the Concept of Investing: Planting Seeds for the Future

Once your child has mastered basic savings, it’s time to take the next step: investing.

I often explain investing to kids using gardening as a metaphor:

“Saving is like putting seeds in a jar. They stay safe.
Investing is like planting those seeds in the soil. With time and care, they can grow into something much bigger.”

1. Explain Ownership Through Brands They Know
   Kids are naturally curious—and already have brand loyalty. If they love Disney, Apple, Nike, or Netflix, you can explain that it’s possible to own a piece of these companies through stocks.

Let them track the company’s stock price over time and see how the value changes. There are plenty of child-friendly investing apps and mock trading platforms that simulate the stock market in a fun, age-appropriate way.

2. Open a Custodial Investment Account
   When they’re ready (usually age 10+), consider opening a custodial brokerage account where they can own real shares under your supervision. Let them be involved in picking a few stocks and watching them grow—or fluctuate.

It becomes a powerful hands-on lesson about long-term thinking, patience, and risk.

3. Teach the Power of Compound Growth
   Use simple charts to show how $1 invested today can become $10 or even $100 over time. Compound interest is a difficult concept for kids (and even adults!) to grasp, so be visual.

For example:

“If you invest $10 a month starting at age 10, and it grows at 8% a year, by the time you’re 60, you could have over $60,000. But if you wait until you’re 30 to start, you might only have $15,000.”

This one lesson alone can change the trajectory of their financial life.

Lead by Example: Kids Learn by Watching

As a parent, your actions speak louder than any allowance policy or savings chart. If you prioritize smart financial behavior—budgeting, investing regularly, planning for retirement—your children are far more likely to follow your lead.

In my own home, I make it a point to talk openly (in age-appropriate ways) about money decisions. I explain why we invest, how we save for vacations, and why we give back to causes we care about.

Don’t be afraid to let your kids see you make mistakes too. When you explain what you’ve learned from a poor investment or a budgeting challenge, it teaches them that money is a journey, not a perfect science.

Build Lifelong Habits, Not Just One-Time Lessons

The ultimate goal isn’t just to teach kids how to save or invest—it’s to help them build lifelong habits that lead to financial confidence and independence.

Here are some bonus ideas:

• Play financial board games like Monopoly or The Game of Life to spark conversations.
• Match their savings contributions, just like a 401(k) employer match.
• Celebrate milestones—their first $100 saved, their first dividend, their first stock chart.

Remember: every dollar saved, every conversation had, and every goal set is a step toward raising financially empowered young adults.

Final Thoughts

At Manna Wealth Management, I believe that financial education should start at home. With the right guidance, tools, and examples, you can equip your children with the confidence and knowledge to make smart decisions throughout their lives.

Whether you’re managing your own retirement or planning for the next generation, I’m here to help. With nearly three decades of experience, I can help you build a strategy that supports your goals—and your family’s future.

If you’re looking for support in teaching your children about money, saving, or investing—or building a generational wealth plan—contact me here. Let’s have a conversation that creates lasting impact.