Children can begin to learn about money at an early age even though it is usually at age 18 when an individual can legally manage an account.
As soon as a child learns the basics of money they can learn to invest. Starting with the 50/30/20 rule of needs, wants, and savings is a good segway into the concept of investing. The Three-Jar System is an effective way to handle money. Have your children divide money for saving, spending and investing. You can even have a fourth jar for giving. The concept that investing money brings more money can be taught through games such as Rats to Riches and The Game of Life.
As children get older, they can use simulating opportunities such as lnvestopedia which allows for practice without any risk. Older children can also learn about growth and risk by picking a stock in a familiar company and tracking it over time.
On You Tube, Erin Talks Money has videos that are aimed at parents to educate their children on investing. A few good ones are Kids learn Money Habits by Age 3, and How to Set Up Your Child's Financial Life by Age 5. Recently Good Morning America has a segment on How to Invest in your child's future and there is a You Tube for accessing that as well.
Parents can open custodial accounts for their children by way of 529 plans which offer tax-advantaged growth. Communicate to family members, such as grandparents, and let them be a part of contributing regularly or even just on birthdays because time and consistency are what it takes to build your child's wealth.
The Trump Accounts for Newborns will provide $1000 federal deposit per child. Parents will need to fill out IRS form 4547. Children born between January 1,2025 and December 31, 2028 also qualify. Go to https://www.babylist.com to get instructions on how to apply. Millhopper Montessori School