Global Money Week: ASIC offers practical tips and resources to teach kids about money
To mark Global Money Week (27 March – 2 April 2017), ASIC’s MoneySmart offers practical tips and resources for parents to help them teach children about money to establish good money habits for life.
‘The dynamic development of mobile banking and online shopping money reinforces the importance of teaching children and young people about money matters from an early age to ensure they develop sound financial habits and behaviours to help them navigate the financial decisions and challenges they’ll face throughout life’, said Peter Kell, ASIC’s Deputy Chairman said.
‘For parents, there are many situations in everyday family life that present opportunities to talk to children about managing money, including the basics such as how to budget, spend and save’, Mr Kell said.
ASIC’s MoneySmart offers the following practical tips to help parents have money conversations with kids:
- At the ATM – explain where the money’s from and how you’ve earned it; it’s not just a hole in the wall where money comes out.
- At the supermarket – prepare a list, research prices and how you can save money if you shop around.
- Budgeting – involving kids in discussion about family budgeting can prompt learning about differentiating between needs and wants, costs and spending. ASIC’s MoneySmart Budget Planner is a great tool you can use.
- Pocket money or income from a part-time job present opportunities to discuss setting financial goals and saving up for them and understanding the value of money.
- Mobile phones – discuss options for phone plans and checking and managing data usage to control costs.
- Encourage older children to visit ASIC’s MoneySmart website and use its free calculators, apps and resources, as well as tailored information for young people starting out.
Mr Kell said supporting the teaching of financial literacy skills in schools is also a strategic priority for ASIC.
‘Research tells us many teenagers already have experience with financial matters, with over 80 per cent of 15 year olds having a bank account and 73 per cent earning money from work such as outside school hours work or occasional informal jobs, and about 90 per cent of 14-17 year olds owning a mobile phone, Mr Kell said.
ASIC’s MoneySmart Teaching program, delivered in partnership with state and territory education departments around Australia, aims to support financial literacy in schools through teacher professional development and quality teaching resources aligned to the Australian Curriculum.
ASIC is the Australian Government agency responsible for financial literacy, consistent with its strategic priority to promote confidence and trust in the financial system. We support the financial capability of Australians to improve their financial knowledge and skills and develop the attitudes and behaviours to make good financial decisions.
ASIC leads and coordinates the National Financial Literacy Strategy, which sets out a national framework for financial literacy work in Australia. The Strategy highlights the importance of providing people with tailored resources and tools, and of responding to the financial issues facing vulnerable sectors of the community. People experiencing high financial stress and crisis are identified as one of a number of priority audiences in the National Strategy.
ASIC’s MoneySmart website provides trusted and impartial financial guidance and tools to help Australians of all ages manage their money and make informed financial decisions.
ASIC’s MoneySmart Teaching program builds the financial literacy capabilities of young Australians in relation to five basic financial principles: planning, spending, saving, donating and investing.
ASIC’s MoneySmart Teaching program:
- promotes a curriculum based approach to teaching financial literacy in Australian schools
- builds teacher capability through professional development and personal learning
- provides free teaching resources, aligned to the Australian Curriculum, that use real life consumer and financial contexts to build student capability
- supports partnerships with education departments and schools to progress financial literacy around Australia.
Global Money Week is an international annual money awareness campaign, run by the Child and Youth Finance International Secretariat that teaches children about money. The theme for Global Money Week 2017 is ‘Learn. Save. Earn.’