Because nobody wants their kids learning about money from TikTok

Emma's 8-year-old daughter recently asked why they couldn't just "use the card" to buy everything she wanted. When Emma tried explaining that the card wasn't magic money, she got a blank stare.

That's when it hit her - her daughter had no clue where money actually comes from or how it works.

Sound familiar? You're definitely not alone.

The Problem We're Facing

New Zealand kids are growing up financially clueless. OECD research shows we rank poorly on financial literacy compared to our neighbours. More than half our students are at the bottom level compared to Australian kids.

And it's getting worse, not better.

The scary bit? These kids are bombarded with financial messages on social media but have zero foundation to understand them. They're seeing influencers talking about investing and crypto while not understanding basic concepts like "you need to earn money before you can spend it."

What Schools Are Actually Doing

The good news is there are some brilliant programmes in schools:

• ASB GetWise has reached 1.3 million kids since 2010
• MoneyTime is used in over 700 schools with 95,000 students
• Sorted in Schools provides government-funded resources
• Bank-sponsored programmes like Kiwibank's Banquer

But here's the thing - these programmes are often one-off workshops. A single session about budgeting doesn't magically create financially literate kids.

Why Home Matters More

Research shows parents have way more influence on kids' money attitudes than any school programme. The age you first talk about money with your kids affects their financial literacy well into adulthood.

Boys typically get their first money conversation earlier than girls (which explains some of the gender gap in financial confidence later).

Translation: if you want financially smart kids, you need to start the conversations at home.

Starting Young (Ages 5-8)

Make money visible Kids today rarely see cash. Everything's contactless. They think money is magic plastic that makes things appear.

Use cash for some purchases so they can see money leaving your hands. Let them count coins and notes.

Introduce earning Small jobs around the house with small payments. Not chores (they should help because they're part of the family), but extra tasks.

"If you help me wash the car, you'll earn $5." Connect work with money early.

Three jar system Spending, saving, giving. Every dollar they get gets split between the three. They learn that money has different purposes.

Building Skills (Ages 9-12)

Let them make mistakes Give them a clothing budget for school shoes. If they blow it on expensive brands and can't afford socks, they learn consequences in a safe environment.

Compare prices At the supermarket, show them why you choose one product over another. "This costs $3, this one costs $5. Same thing, different price."

Start goal setting "You want that $50 game? Let's work out how to save for it." Help them make a plan and track progress.

Getting Real (Ages 13-18)

Open a bank account Let them manage their own money properly. Online banking, eftpos cards, the works.

Discuss family finances (carefully) Not the scary stuff, but let them understand why you make certain choices. "We're saving for a holiday, so we're eating at home more this month."

Part-time jobs Nothing teaches money management like earning it yourself. Paper runs, babysitting, weekend retail work.

The Conversations That Matter

Money doesn't grow on trees Explain where your family's money comes from. Dad works, gets paid, that pays for food and rent.

Wants vs needs Food is a need. The latest iPhone is a want. Help them understand the difference.

Debt is borrowing future money If you buy something on credit, you're spending money you haven't earned yet. Sometimes that's necessary (houses), sometimes it's not (shoes).

Investing grows money Money sitting in a bank account is safe but doesn't grow much. Investing means taking some risk to potentially earn more.

When Money Gets Tight

Cost of living pressures make these conversations harder but more important. Kids need to understand:

• Families sometimes face money stress
• Everyone has to make choices about spending
• It's temporary and manageable with planning

If your family's struggling with debt from rising costs, it's worth looking at debt consolidation nz options to simplify your finances - and show your kids how adults handle money problems responsibly.

Tools That Actually Work

Games:

• Monopoly (classic for a reason)
• MoneyTime online game
• Sharenanigans (NZ share market game)

Apps:

• PiggyBot for saving goals
• iAllowance for tracking jobs and earnings
• Youth accounts from major banks

Books:

• The Barefoot Investor for Families
• Rich Kid, Smart Kid by Robert Kiyosaki

Common Mistakes Parents Make

Being secretive about money Kids pick up on financial stress whether you talk about it or not. Better to explain in age-appropriate ways.

Giving mixed messages "We can't afford it" while ordering Uber Eats three times a week confuses kids about priorities.

Making it too complicated Start simple. You don't need to explain compound interest to a 6-year-old.

Gender bias Make sure both boys and girls get the same financial conversations and opportunities.

The KiwiSaver Conversation

Once kids turn 18, they'll be automatically enrolled in KiwiSaver. Explain what it is and why it matters:

• Government and employer contributions are free money
• Starting early makes a massive difference
• It's for retirement (which seems forever away but isn't)

Teaching Through Example

Kids watch everything you do with money:

• How you shop and compare prices
• Whether you plan purchases or impulse buy
• How you talk about money (stressed vs confident)
• Whether you save regularly or live paycheck to paycheck

They're learning whether you know it or not.

The Long Game

Financial literacy isn't about turning your kids into mini accountants. It's about giving them tools to:

• Make confident money decisions
• Avoid debt traps
• Plan for their futures
• Handle financial stress without panic

Start early, keep it simple, and remember - small regular conversations beat one big awkward "money talk."

The Bottom Line

New Zealand's kids need better financial education, and it starts at home. Schools can help, but parents are the biggest influence.

You don't need to be a financial expert to teach basic money skills. You just need to start talking and let them practice with small amounts while the stakes are low.

Your kids will thank you later - probably when they're the only ones in their flat who know how to budget.