From Piggy Banks to Profits: How to Teach Kids to Grow Their Money

Most kids learn how to spend money before they even know how to count it!

But what if we flipped the script and taught them how to grow their money instead?

Imagine your child not just saving pennies in a piggy bank but actually making their money work for them —

investing, earning, and thinking like a mini entrepreneur. Sounds amazing, right? Let’s dive into how you can teach your child to grow their money from an early age and set them

up for lifelong financial success!

Step 1: Shift Their Mindset from Spender to Investor

Most kids see money as something to spend, but wealthy families teach their children that money is a tool to create more money.

✅ How to Teach This:

• The next time your child gets money, ask: "How can you make this money grow?" instead of "What do you want to buy?"

• Explain the concept of planting money like a seed—when you invest it wisely, it grows into something bigger!

  
  

Step 2: Teach Smart Saving (Beyond the Piggy Bank!)

Piggy banks are great for toddlers, but as kids grow, they need to learn how to save with a purpose.

✅ How to Teach This:

• Introduce the “Save, Spend, Give, Invest” method:

  • Save for big goals (like a bike or a gaming console).

  • Spend wisely on things they enjoy.

  • Give to a cause they care about.

  • Invest to grow their money over time.

    
    

This teaches balance and helps them understand that saving isn’t just about hoarding—it’s about strategic planning!

Step 3: Introduce Simple Investing Concepts

Investing isn’t just for adults! Teaching kids the power of compound interest early on can change their financial future.

✅ How to Teach This:

• Show them how money can make money with a simple example:

  • If they put $100 in a savings account earning 10% interest, they’ll have $110 next year—without doing anything!

  • If they reinvest that $110, the next year they’ll have $121, and so on.

  • This teaches them that investing rewards patience and smart choices.

    
    

• Consider opening a kid-friendly investment account or using apps that allow children to buy small shares of stocks.

  
  

Step 4: Encourage Entrepreneurial Thinking

One of the best ways for kids to grow their money is to earn more of it! Instead of relying solely on allowances, encourage them to think like an entrepreneur.

✅ Fun Business Ideas for Kids:

• Selling crafts or homemade goodies (bracelets, keychains, cookies).

• Pet-sitting, dog-walking, or car washing.

• Buying and reselling items (like toys, books, or trendy accessories).

• Starting a YouTube channel or blog about their favorite hobby.

  
  

These small business ideas teach kids the value of problem-solving, hard work, and making money independently!

Step 5: Make Money Lessons Fun & Hands-On

Kids learn best when they’re actively involved! The more fun you make financial lessons, the more likely they’ll stick.

✅ Fun Money Activities:

• Play Monopoly or The Game of Life to teach about investing and cash flow.

• Give them a “Family Bank” loan for a business idea and teach them about repayment.

• Challenge them to double their money (e.g., give them $50 and see if they can turn it into $100 through smart business ideas).

  
  

These activities help kids apply financial lessons in real life and get excited about growing their money.

Final Thoughts: Turning Kids into Money Growers!

The secret to raising wealthy-minded kids isn’t just telling them to save—it’s teaching them how to grow their money. By shifting their mindset, introducing smart saving and investing, and encouraging entrepreneurship, you’re giving them the financial confidence to thrive in the real world!

Want to learn more? Download our FREE eBook "What Rich People Teach Their Kidz, That You Should Too!" and start building your child’s wealth mindset today!