Island Parent Magazine April-May 2022

Alexa, How Do I Teach My
Kids About Money?
Something’s in the air and it’s not just the silent alarm of
a much-needed diaper change. While you and your other
half grapple with who’s taking the night shift and who gets
some extra shut-eye, a conversation about money will feel
like your last priority.
Nevertheless, the sooner our kids are taught the basics of
money, the sooner they’ll become financially literate.
Some predict that Generation Alpha (born in 2010–2024)
will be the most formally educated, tech-savvy and wealthiest
generation in history. However, the lifelong lesson of
money can’t be downloaded as an app and absorbed in an
instant. Instead, real life teachable moments can be applied
to the all-important financial literacy conversation.
And, just as critical as the discussion with your children
is, you and your partner need to be on the same page. Chartered
Professional Accountants Canada (CPA Canada) recommends
some areas to consider when teaching your kids
about money:
Partners in finance: While parents don’t always see eye to
eye, money is a conversation that requires clear communication
and compatibility before you talk to your child.
ABCs and 123s: Start the conversation with your kids
early. It’s never too soon to show them the value of dollars.
Make it relatable: Use real life ‘teachable’ moments to
kickstart lessons in financial education. With assistance,
letting your child pay at the grocery store gives them confidence
with transactions.
Pennies to profit: Teach your kids the long game. By providing
small allowances and exploring spending goals, your
kids will learn from an early age the importance of budgeting.
Continue the conversation: Financial lessons won’t be
digested in a one-time talk. Keep checking in with your kids
and encourage them to learn.
It’s never too early to start implementing money lessons
at home. CPA Canada has a range of tips and resources to
help guide the money conversation with your future financial
whiz kid. Download CPA Canada’s free financial literacy
workshops or a copy of its Raising Money Smart Kids book
at cpacanada.ca.
Vivian Leung is a Senior Principal in CPA Canada’s Taxation group.
She is passionate about advancing financial literacy amongst Canadians
and is the co-author of CPA Canada’s book Babies: how to afford your
bundle of joy.
32 Island Parent Magazine IslandParent.ca