Start With Simple Conversations About “Needs vs. Wants”
Kids naturally want things — toys, snacks, games — but they don’t always understand the difference between what they want and what they need.
A grandparent-friendly way to teach this:
Try:
During a shopping trip, point to items in the store and ask:
“Is this a need or a want?”Talk about how adults choose what to buy and why.
This simple game builds the foundation for good spending habits.
Use a Clear Jar System for Saving
Children learn best when they can see their money grow.
Give each grandchild three jars labeled:
Save
Spend
Share
Any time they receive money (allowance, birthday gifts, holiday cards), help them divide it among the jars.
Share Your Own Stories (Kids Love These!)
Children remember stories far more than lectures.
Try sharing:
The first thing you ever saved for
A time you made a great money decision
A time you spent too quickly and regretted it
How prices have changed since you were their age
These moments teach grandchildren that money choices have real consequences — and that everyone learns through experience.
Make Saving Fun With “Matching Contributions”
Just like a 401(k) match, you can motivate your grandchild to save by offering a little “bonus.”
“For every dollar you save, I’ll match 25 cents.”
It turns saving into a game — and teaches the idea of earning interest.
Teach Them to Set a Savings Goal
Whether they want a new game, a toy, or a school trip, help them set a goal and work toward it.
Here’s how:
Ask what they want.
Look up how much it costs.
Break that into smaller steps (weekly or monthly).
Celebrate their progress.
Grandparents are especially good at cheering kids on — and kids remember it forever.
Let Older Grandchildren Learn With Real-Life Responsibility
Teens benefit from hands-on experience.
Here are ways to involve them:
Help them open a savings account
Teach them how a debit card works
Show them how to read a bank statement
Encourage part-time work or gig-style earning (pet sitting, yard work, crafting)
Introduce apps or tools for tracking spending (age-appropriate)
These small steps give teens confidence that many adults never received.
Teach the Power of Waiting (Delayed Gratification)
Children today are used to instant results — but the ability to wait is one of the strongest predictors of financial success.
Try a simple exercise:
Offer a small treat now or a bigger treat if they wait 24 hours.
It’s amazing how quickly they learn this lesson.
Use Everyday Moments as Teaching Opportunities
Grandparents don’t need formal lessons — just small conversations.
Examples:
Planning a family meal → talk about budgeting for groceries
A trip to the zoo → compare prices and look for discounts
Holiday shopping → discuss giving, spending limits, and saving
Kids absorb financial habits from the adults around them.
Encourage Healthy Money Mindsets
Children develop beliefs about money early. Help them build a healthy mindset:
Teach them:
“Money is a tool, not a measure of worth.”
“Saving a little at a time adds up.”
“It’s okay to make mistakes — that’s how we learn.”
“Helping others is part of good money management.”
Grandparents are uniquely trusted voices, which makes these lessons especially powerful.
Make It a Tradition
The best financial lessons come from ongoing conversations, not one-time talks.
You can create traditions like:
A yearly “money day” where you review their savings
Birthday matching contributions
Holiday charity projects
Summer “earning challenges.”
Back-to-school budgeting
These moments build memories and confidence — a double win.
Grandparents play a special role in shaping their grandchildren’s financial future.
Your wisdom, stories, guidance, and encouragement can teach lessons no school will ever cover. These moments don’t just teach children about money — they strengthen the bond between generations.
With care,
Mike Bridges
Founder, The O55 Report