Explain that each one is earmarked for spending, saving and sharing of any money received. Together, decide on what percentage of funds received will be allocated to each container.
How to teach children the basics of budgeting
Piggy banks can be useful tools to help teach a child the basics of spending and saving. Here’s how to instill responsible money habits and foster a charitable spirit at the same time.
Give your child three banks
The bank holds money that a child can spend on fun, minor purchases such as snacks, small toys or inexpensive apps for a parent’s tablet or phone.
This bank funds bigger-ticket purchases, such as a deluxe Lego set, a scooter, or video games.
This bank’s funds help others and can be used for charitable efforts such as supporting an animal shelter or providing books for school children.