Raising Money-Smart Kids

Oct 22, 2025

A financial education roadmap from kindergarten to college

In the 2024 FINRA Foundation National Financial Capability Study (NFCS), fewer than a third of respondents were able to identify how quickly compound interest will double their debt. Just under two in five respondents (19 percent) report participating in financial education at a school, college, or workplace.¹

As caregivers, you have the power to change that for the next generation. Money skills aren’t just about dollars and cents. They’re about independence, security, and opportunity. Just like reading or swimming, the earlier you start teaching, the stronger and more confident your kids will become.

In this post, we’ll walk through an age-by-age roadmap for building financial skills from kindergarten to college. We understand that every family’s journey is different, so we’ve also created a free downloadable guide packed with tips, conversation starters, and recommended tools for each stage.

Why financial education matters for your family

When your family has built a solid financial foundation, you face a unique challenge and opportunity. Without guidance, wealth can unintentionally create entitlement. With intention, it can create empowerment.

Teaching kids how to properly manage, grow, and give money is a part of preparing future stewards of the family’s wealth. Parents, grandparents, and caregivers have the opportunity to:

Prepare heirs for the responsibilities of wealth
Model values like generosity, patience, and planning
Equip kids with the skills to navigate real-world financial decisions before they’re on their own

Financial topics by age

Here’s a quick, high-level guide of what skills to focus on and how you can bring them to life at home.

Age Range	Key Skills	Caregiver Focus
5–7	Saving for small goals, understanding coins/bills, “spend-save-give” basics	Use jars or envelopes to track savings and spending
8–10	Budget basics, needs vs. wants, giving decisions	Give allowance tied to chores, let kids make small spending choices
11–13	Bank accounts, compound interest, tracking spending	Open an account together, review statements monthly
14–16	Credit basics, investing fundamentals, first paycheck and taxes	Walk through a pay stub, introduce simple investing
17–18	Student loans, budgeting for independence, responsible credit	Practice monthly budgets, discuss credit card rules

Who plays a role in raising money-smart kids

Financial education is a team effort, and it works best when everyone plays their part. Parents and grandparents lead the way by sharing values, modeling healthy money habits, creating hands-on learning opportunities, and involving kids in family giving. Schools and youth programs can build on those lessons by teaching technical skills like economics, personal finance, and investment basics through games, classes, and simulations. Financial advisors bring it all together — offering clear guidance on investing, helping with long-term planning, and facilitating legacy and estate conversations that include the next generation, so they’re ready to carry the family’s wealth and values forward.

Preparing for responsibility

The most powerful lessons often happen in everyday life, but having a plan helps ensure your children and grandchildren are ready for every stage of their financial journey.

Our free Raising Money-Smart Kids resource guide gives you practical tools to start teaching today. And if you’d like, we can help you design a personalized family financial education plan that aligns with your broader wealth strategy.

Let’s work together to build the next generation’s confidence, independence, and legacy.