9 Lessons I Taught My Grandkids About Money

One Saturday afternoon, I was sitting with my granddaughter Lily while she counted the cash she earned from mowing lawns. She looked up at me and asked, “Grandpa, what should I do with it?” It took me right back to when I was her age, earning a few bucks here and there, without much guidance on how to manage it. Over the years, I learned those early habits stick with you.

Whether you’re a parent, grandparent, or just someone who wants the next generation to avoid money mistakes, you understand how important it is to pass down practical advice. Today, I’ll share nine key lessons I’ve taught my grandkids about money. These aren’t complicated rules—just simple truths that can set anyone up for a strong future.

1. Budgeting Matters

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Who knew that budgeting could be this fun, shirking all your responsibilities for a game? So I taught them that if they plan their spending, we can have them all easily. It has forced them to be more deliberate with their money.

2. Save, Save, Save

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The habit of paying themselves first before spending any money they have coming into the household. It has trained them on how to create a financial cushion. It’s nice to see them get excited about their money growing over time.

3. Debt Is Dumb

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We had frank conversations about the dangers of borrowing money for things we didn’t need. I made the point that not going into debt gives you more financial freedom. Now they get that patience and saving beat debt.

4. Beware of Marketing

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We deconstructed ads together, noting techniques used to influence spending habits. This insight has led to much more scrutiny of impulse spending. Now they’re savvy consumers who have second thoughts about shopping.

5. Shop for Bargains

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I made hunting for bargains into a fun game, teaching them how to find quality items at lower prices. They have realized that patience and research can amount to substantial savings. This has nurtured their resourcefulness and appreciation for value.

6. Investing Basics

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We learned how compound interest can be magic with simple charts and examples. They understood how putting money in early can compound over time. This awareness has encouraged them to consider long-term financial planning.

7. Insurance Awareness

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I compared having insurance against worries to that of having a safety net that prevents you from falling when bad things happen. They discovered that although it looks like an unnecessary cost, the insurance is there to shield from a big financial hit. This understanding has taught them the value of being prepared.

8. Money and Relationships

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We talked about how financial pressure can strain personal relationships, and how important it is to be open with others about money. They found that harmonizing financial goals with others builds peace. They have learned this lesson, which will lead them to prioritize transparency and collaboration in future relationships.

9. The Joy of Giving

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I asked them to help pick charities to which we could donate some of their money, making the most of their generosity. They learned firsthand that there is joy in serving others. This practice has implanted their sense of social responsibility and compassion.

Teaching my grandkids about money wasn’t just about dollars and cents. It was about giving them tools to build a life of confidence, independence, and security. Watching them apply these lessons has been one of the greatest joys of retirement.

Here are five lessons you can share with the young people in your life today:

Understand the value of hard work—earning money teaches responsibility early on. Save a portion of every dollar—whether it’s birthday money or part-time income, build the habit now. Differentiate between needs and wants—being mindful about spending makes all the difference. Start simple budgeting—encourage tracking where their money goes, even in small amounts. Avoid debt when possible—explain how credit cards and loans work before they encounter them.

You don’t need to be a financial expert to teach solid money habits. Start small, lead by example, and the lessons will last a lifetime.

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