financial education for kids

Games About Entrepreneurship: What Cashflow 101 Taught Our Family

Enterprise For KidsTeam Money Lessons for Kids, Raising Entrepreneurial Kids , , , , , , 0 Comment
Trevor, Jai, Chayse and Flizzy playing the Cashflow 101 board game together

Games about entrepreneurship can make money, investing and business ideas easier for children to understand because they turn abstract concepts into decisions, consequences and family conversations.

I bet many of us have played a game of Monopoly. As a child, it was one of my favourite board games. I did not realise it at the time, but it was probably teaching me early lessons about real estate, rent, development, passive income and the power of owning assets.

Years later, another board game became a favourite in our family. This one went much deeper: Robert Kiyosaki’s Cashflow 101.

Akaisha holding Monopoly and Cashflow 101 as games about entrepreneurship
Monopoly and Cashflow 101 can both open the door to family conversations about money, property and enterprise.

When people talk about games about entrepreneurship, they often imagine something that teaches business in a neat, classroom-style way. Cashflow 101 was different. It did not just tell our children about money. It placed them inside a money story. They had to make decisions, keep records, take risks, miss opportunities, make mistakes and try again.

For around 20 years, our family has had many conversations about business, investing, work, risk, assets, liabilities and entrepreneurship. Some were planned, but many happened naturally around the dinner table, in the car, through small family projects, while travelling, or while following our children’s different enterprise journeys.

One of the most useful tools we used as a family was not a formal curriculum. It was a board game.

The photographs and video in this article are recent. Our children are now teenagers and adults, but Cashflow 101 still brings us back to the table. That continuing interest is one reason I believe games about entrepreneurship can have a lasting influence.

Important note: This article shares our family and teaching experiences for general education. It is not personal financial advice. Children should not operate real trading, investment or cryptocurrency accounts without appropriate adult supervision and professional guidance where needed.

Why Games About Entrepreneurship Matter

I was reminded of Cashflow 101 recently when I saw a mother in a homeschooling group ask how to support her 12-year-old son. He wanted to start learning about trading, including traditional markets and crypto. Her question was also a reminder that games about entrepreneurship can provide a safer first step than rushing a child towards real markets.

She made it clear that he would not be in charge of operating any real trading accounts, but she wanted to know what apps, platforms or resources might help him learn. She also asked to hear from other families whose children were learning about investing as part of their homeschooling.

I thought it was an excellent question.

Children today are growing up in a world full of investing apps, crypto, online business, influencers, financial headlines and constant money talk. It can be difficult for parents to know what is legitimate, what is hype, and what may even be a scam.

It is easy to fall into one of two extremes.

We can shut the conversation down completely because it feels too risky or too adult. Or we can rush too quickly into real markets before a child understands risk, emotion, research, patience or consequences.

I think there is a better middle path.

When children show interest in trading, crypto or investing, we do not need to shut the conversation down. But we also do not need to rush them into real markets.

The first step is to help them understand how money works, how risk works, how emotions affect decisions, and how investors think.

This is where games about entrepreneurship can be so valuable. They give children a way to practise financial thinking before real money is on the line.

Games About Entrepreneurship Can Teach Through Experience

Cashflow 101 is a board game designed by Robert Kiyosaki, the author of Rich Dad Poor Dad.

In the game, each player is given a career, a wage, expenses, assets and liabilities. Each person chooses a coloured rat and enters what the game calls the “Rat Race”.

Rat-shaped player piece used on the Cashflow 101 Rat Race board
Players begin in the Rat Race and aim to build enough passive income to reach the Fast Track.

That part of the game is very clever.

Players go around and around a circular track earning wages, paying expenses, buying doodads, dealing with unexpected costs, and looking for business or investment opportunities. Some opportunities are good. Some are not. Some carry more risk. Some need more cash. Some require patience. Some should be left alone.

The aim is to build enough passive income from assets so that your passive income becomes greater than your expenses. When that happens, you leave the Rat Race and move into the Fast Track, where bigger business and investment opportunities become available.

The game can take anywhere from one to three hours to play. In my view, it is suitable for older children, teenagers and adults. There is also a junior version for younger children.

As games about entrepreneurship go, Cashflow 101 asks a lot of its players. It expects them to read, calculate, keep records, weigh up risk and understand the difference between assets and liabilities.

Learning Through Decisions and Financial Records

What I loved about the game was that it taught financial concepts through experience, not just explanation.

Our children learnt about assets and liabilities, income and expenses, cashflow, record keeping, passive income, risk, debt, business opportunities, investing, negotiation, patience and knowing when to walk away.

Players using an app to manage financial transactions during a game of Cashflow 101
Each player tracks income, expenses, assets, liabilities and cashflow throughout the game using an app.

Each player had to keep their own financial records. That alone was a powerful exercise. They had to track income, expenses, assets, liabilities and cashflow. They had to work out whether they could afford an opportunity, whether it was worth the risk, and whether it would actually move them closer to getting out of the Rat Race.

At the end of a game, we would often stop and talk about how everyone played. We would look at what worked, what did not work, what risks paid off, and which opportunities probably should have been left alone.

Those conversations were often just as valuable as the game itself. This is where games about entrepreneurship become more than entertainment: the choices made during play create genuine discussion afterwards.

Watch Cashflow 101 Being Played

In this recent video, Jai explains how Cashflow 101 works while Chayse, Flizzy and I play alongside him. The short sequence shows the game progressing, the financial decisions being discussed and the family conversation happening around the table.

Cashflow 101 Was More Than a Money Management Board Game

Cashflow 101 taught financial concepts, but for our family, I think the deeper lesson was about identity.

It helped our children see themselves as people who could understand money. They could read a basic financial statement. They could think about assets and liabilities. They could weigh up risk. They could look at an opportunity and ask whether it made sense.

That inner belief matters.

Family members gathered around a table playing Cashflow 101
Cashflow 101 creates opportunities to discuss money, risk and investing while decisions are being made.

Building the Identity of a Business Builder

As a school teacher, I have often felt that the curriculum does not properly expose students to the career pathway of the entrepreneur. Children hear a lot about getting a job, choosing a career, going to university or learning a trade. All of those pathways can be valuable.

But many students do not hear enough about building something of their own.

They do not always learn that they can create value, solve problems, build assets, start small projects, develop business skills, or become investors and business builders over time.

That is something we wanted our own children to understand early.

We did not want them to grow up thinking money was mysterious, investing was only for wealthy people, or business was something other people did. We wanted them to feel that these ideas were learnable. They could have a go. They could make mistakes. They could build something. They could become more capable through experience.

Looking back now, with our children grown or growing into adulthood, it is interesting how often they still mention the Cashflow game. They remember the lessons. They remember the conversations. They remember the feeling of trying to get out of the Rat Race.

Amber and Blake making financial decisions while playing Cashflow 101
Amber and Blake working through the opportunities, expenses and financial decisions in Cashflow 101.

I believe those experiences helped shape their understanding of the fundamentals of being a business builder and investor. They also show that games about entrepreneurship can remain useful well beyond childhood.

Not because the game gave them every answer. It definitely did not. But it gave them a way of thinking.

That is why I think games about entrepreneurship can be so powerful. A good game does not just give information. It helps a child step into a role and practise thinking from that position.

Using Games About Entrepreneurship in the Classroom

I also used Cashflow 101 in a school setting. It showed me that games about entrepreneurship can reach students who may not respond to a conventional lesson about money or career pathways.

People gathered around a table playing the Cashflow 101 board game
Playing Cashflow 101 together encourages discussion, strategic thinking and practical financial decision-making.

At the time, I was working with Year 9 and 10 students in a country high school. Many of the students were disengaged with school, and many had very little direction about their future career pathways.

I saw an opportunity to expose them to entrepreneurship in a practical way, so I ordered four Cashflow 101 games for the school.

We set the games up and grouped the students to play. The games ran over several weeks, with students playing twice a week.

The response was remarkable.

The students embraced it. The game was fun, competitive and strategic. It required focus, thinking, record keeping and decision-making. Students who were often disengaged began to light up as they discovered the world of business, investing and entrepreneurship.

The game opened up questions and discussions about money, risk, work, income, opportunity and business. It also gave students a practical introduction to the kind of entrepreneurial thinking that is often difficult to teach through explanation alone.

I do not know what seeds were planted in those students, but I do know that many of them were exposed to ideas they may not have encountered otherwise.

Sometimes one experience, one conversation, one game or one idea can open a door.

Games About Entrepreneurship and Real-World Exposure

Board games were not the only way we exposed our children to business and investing ideas. The foundation created by games about entrepreneurship was strengthened through real people, real places and real learning experiences.

Over the years, we also took them to different seminars, courses and learning events. Some of these were probably well beyond what most people would consider normal for children, but I have always believed that exposure matters.

Exposure Can Shift What a Child Believes Is Possible

One example that stands out is Jai.

When he was only 12, he flew with me to the other side of Australia to attend a week-long program on trading using CFDs. CFDs, or Contracts for Difference, are leveraged derivatives that can be traded in Australia. They are complex and risky, and I am certainly not suggesting them as something children should trade.

But the learning experience itself was valuable.

Jai was the youngest participant in a room of more than 100 people. Did he understand the content? Yes, he did. Did he become a CFD trader? No, he did not.

But that was never really the point.

The experience opened his eyes to the world of finance. He saw adults learning serious financial skills. He saw that markets, trading, risk and investing were real areas of study. He also saw that there are opportunities available to people who build the confidence, discipline and know-how to understand them.

That kind of exposure can shift a child’s view of what is possible.

A child does not need to fully master every idea at 12 for the experience to matter. Sometimes the value is simply in being in the room, hearing the language, seeing people take learning seriously, and realising that these pathways exist.

That is why I see games, conversations, seminars, courses and real-world experiences as part of the same bigger picture. They all help build financial awareness and inner belief.

Should a 12-Year-Old Learn About Trading?

In answer to the mother’s question, I would say yes, but with care. I would begin with conversations, simulations and games about entrepreneurship before moving anywhere near a live trading account.

Players considering an opportunity during a family game of Cashflow 101
The game challenges players to consider whether an opportunity is affordable, worthwhile and consistent with their financial goals.

A 12-year-old who is interested in trading or investing does not necessarily need to start by placing trades. There is plenty to learn before real money is involved.

The first thing I would want a child to understand is the difference between investing, trading and speculating.

Investing usually means buying quality assets with a longer-term view. It involves research, patience and the ability to sit through ups and downs without being ruled by emotion.

Trading is more active. It involves reading charts, choosing entries and exits, managing risk carefully and making decisions under pressure. That can be exciting, but it can also become emotional very quickly.

Speculating is different again. It usually means taking a risk on something that may rise in value, but where the outcome is much less certain. Sometimes speculation pays off. Sometimes it does not.

These are not easy distinctions for many adults, let alone children. But a child can begin to understand the basics through games, conversations, simulations and simple examples.

They can learn what an asset is. They can learn what a liability is. They can learn why compound interest matters. They can watch how markets move. They can learn about scams, hype and emotional decision-making. They can practise making decisions without the pressure of real money.

To me, that is the best starting point.

What Other Parents Suggested

The discussion that followed the mother’s question was very interesting. There were many thoughtful suggestions from other parents.

One strong theme was to honour the child’s interest but keep it age-appropriate. If a child is curious about money, markets or investing, that interest can become a powerful learning pathway. It can connect with maths, research, economics, technology, psychology, current events and even writing.

Simulated Investing and Compound Interest

Several people suggested simulated investing or paper trading. Dummy accounts, pretend portfolios and the ASX Schools Sharemarket Game were mentioned as ways for children to practise making decisions without real financial consequences.

That principle fits perfectly with Cashflow 101. Let children practise decision-making before real money is on the line. Both simulations and games about entrepreneurship allow mistakes to become lessons rather than financial losses.

Some parents also talked about teaching the language of markets. Terms like candlesticks, bullish, bearish, trends and technical analysis were mentioned. I do not think children need to become traders immediately, but they can certainly begin learning how markets move and how people interpret that movement.

Compound interest was another important idea raised. One person pointed out that children have a huge advantage when it comes to investing because they have time. A compound interest calculator can help children see how small regular amounts can grow over many years.

That is a powerful lesson because it shifts the conversation away from quick wins and towards patience, consistency and long-term thinking.

Other resources mentioned included books, podcasts, budgeting systems, investment apps, dummy trading accounts, cybersecurity resources and financial education websites. The Australian Government’s MoneySmart guide to teaching kids about money is also a useful starting point for everyday family conversations.

I do not think the main question is simply, “Which app should we use?” A better question might be, “What kind of thinking does this tool teach?”

Some tools encourage patience, research and responsibility. Others can make investing feel like a fast-moving game of excitement and reward. Parents need to be aware of that difference.

Why Crypto Needs Careful but Serious Attention

Crypto came up a lot in the discussion, and understandably so. Games about entrepreneurship can teach broad financial principles, but crypto introduces additional questions about technology, custody, volatility, scams and speculation.

Some parents were enthusiastic about children learning about crypto, blockchain, decentralised finance and digital assets. Others were much more cautious and warned about volatility, scams, tax issues, hype and the risk of children being pulled into something they do not fully understand.

I can see both sides.

Bitcoin image representing cryptocurrency and digital financial education
Bitcoin introduces another layer of discussion about digital money, investment risk and the changing financial world.

Understanding Both the Potential and the Risk

Personally, I do believe crypto is a very real asset class, and I think blockchain technology is likely to become more integrated into our world over time. It already appears that more and more assets, systems and services may eventually be tokenised or connected to blockchain in some way.

For that reason, I think families benefit from understanding it.

However, crypto is not one thing.

There are strong projects and weak projects. There are serious technologies and hype coins. Some projects are trying to solve real problems. Others are built almost entirely on attention, speculation and emotion.

The volatility can also be extreme. A coin can fall dramatically and later recover strongly. Another coin can fall and never come back. This is why I do not think it is helpful to say, “crypto is good” or “crypto is bad”.

The better question is: what exactly are we looking at?

A proper discussion should include the problem the project is trying to solve, the team behind it, the technology or service it provides, whether it has genuine use, and whether the long-term case makes sense. Families also need to understand the risks, including scams, hype cycles, security, tax and emotional decision-making.

The Ethereum Christmas Present

I exposed all of my children to crypto when they were younger in a very simple way.

Ethereum given as a Christmas present to encourage learning about digital assets
A Christmas gift of Ethereum created an opportunity to discuss cryptocurrency, investing, risk and changing forms of money.

For Christmas one year, I gave each of them $100 worth of Ethereum.

This was back in December 2020, before the crypto bull run. At the time, they had very little understanding of crypto and, to be honest, they were not particularly interested in it. The Ethereum sat in my crypto wallet, with a promise to each of them that it was actually theirs.

Over the next 12 months, that Ethereum grew significantly in value.

When the children saw their $100 worth of ETH grow to around $500, they suddenly became much more interested. They wanted to know what had happened. They wanted to understand crypto. Some wanted custody of their Ethereum in their own wallets.

That small Christmas gift created a real-life learning moment.

For Flynn in particular, it became much more than a passing interest. He took crypto seriously, grew his learning, built his crypto portfolio and became both a crypto investor and trader.

Would he have gone down that path if I had not given him Ethereum back in 2020?

I do not know.

But I do know that a small, real experience opened the door to curiosity. And curiosity is often where deep learning begins.

Learning About Crypto as a Family

For families who want to explore crypto, I would not suggest rushing in through social media tips, influencers or random online advice. I would be far more comfortable learning through a professional crypto education organisation with a good track record, proper support, and personalised coaching or mentoring.

That is the path I chose myself through Digital Wealth Group, headed up by Sydel Sierra. For me, having structured education and support was important because crypto can be confusing, fast-moving and risky if you do not understand what you are doing. That experience also connects with our earlier reflections on money mindset and financial education.

I am not a supporter of trading crypto with leverage. That is a very different level of risk.

But I do believe carefully chosen crypto assets may have a place in a broader portfolio alongside other asset classes, provided people understand the risks, do proper research, and seek appropriate advice for their own circumstances.

For children and teenagers, I would treat crypto first as an education topic. It can open up valuable conversations about technology, digital assets, risk, research, scams, hype and the difference between genuine innovation and speculation.

But it should never be presented as easy money.

Financial Education Should Include Danger Literacy

One of the strongest cautions in the discussion was around scams, hype and gambling-like behaviour.

I think this is essential.

If we only teach children about opportunity, we leave them exposed. Financial education should also include danger literacy.

Children need to learn that not every confident person online knows what they are talking about. Not every exciting opportunity is wise. Not every investment story is honest. Not every fast-moving asset is worth chasing.

The Emotional Side of Financial Decisions

They also need to understand the emotional side of money.

Fear of missing out can make people rush in. Greed can make people overcommit. Pride can stop people from admitting they were wrong. Hope can make people hold onto something long after the evidence has changed.

These are not just investing lessons. They are life lessons.

A child or teenager can start with simple questions. What problem does this solve? Where does the value come from? Who benefits if I buy this? What could go wrong? Is this investing, trading, speculating or gambling? What would make me enter, and what would make me exit?

Those questions are valuable for children, teenagers and adults.

It Is Okay to Be Cautious

Not every parent in the discussion agreed that trading was appropriate for a 12-year-old.

That is a fair concern.

Trading involves risk, emotion, probability, psychology, economics, statistics, current events and sometimes complex financial products. A child may not be ready to understand all of that.

But even if a child never places a real trade, their interest can still become a doorway into valuable learning.

A curiosity about trading can lead into maths, research, patience, emotional control, business, technology, economics, cybersecurity, world events and financial literacy.

That is the opportunity.

The aim is not necessarily to create a child trader. The aim is to raise a young person who can think clearly about money, risk, opportunity and value.

Where I Would Start with Games About Entrepreneurship

If a child showed interest in trading or investing, I would probably begin with family learning before real money.

I would start with conversations and games about entrepreneurship such as Cashflow 101. From there, a simulated investing account or sharemarket game could be useful. Compound interest calculators are also excellent because they help children see the power of time, consistency and patience.

I would also encourage a simple journal. Nothing complicated. Just a place to write down why they chose something, what they thought might happen, what actually happened, and what they learnt from the result.

Over time, that journal would reveal a lot.

Did they follow their plan? Did they act on emotion? Did they chase something because it was exciting? Did they ignore risk? Did they become impatient? Did they learn from mistakes?

Those reflections matter.

I would also talk openly about scams, hype, influencers, tax, risk, volatility and the danger of thinking you are smarter than the market.

Not to scare them, but to prepare them.

Games About Entrepreneurship Can Build Inner Belief

For our family, Cashflow 101 was never just a game.

It was a way to practise thinking.

It taught our children that money can be understood. Assets and liabilities matter. Cashflow matters. Opportunities need to be assessed. Risk is part of the game, but not every risk is worth taking.

Most importantly, it helped build an inner belief.

Our children grew up with the idea that business and investing were not mysterious worlds reserved for other people. They were things that could be learned. They could ask questions, make mistakes, read the numbers, assess an opportunity, and build their confidence over time.

That belief has mattered far more than any single financial lesson.

So, when a child asks about trading, investing or crypto, perhaps the best response is not to rush straight to an app or platform.

Maybe the better response is to start learning together.

Play the game. Ask the questions. Practise without real money. Talk about opportunity and danger. Build the understanding first. Used thoughtfully, games about entrepreneurship can become one practical part of a much broader family education.

Because if children learn how to think about money before they start risking money, they will be far better prepared for whatever financial world they step into as adults.

Key takeaway: Games about entrepreneurship such as Cashflow 101 can help families teach children about money, investing, assets, liabilities, risk and business thinking before real money is involved.

Games are only one part of the journey. Family conversations, real-world exposure, seminars, courses and small lived experiences can all help children build the inner belief that they can learn, create value and become capable financial decision-makers.

Money Mastery: Lessons from Paul Counsel’s Program

Enterprise For KidsTeam Mindset, Confidence & Leadership, Money Lessons for Kids , , , , , , , , , , 4 Comments
Paul Counsel teaching in the Money Mastery Program about financial freedom and money mindset

Money Mastery became much more than a financial education program for us. It became a deep journey into mindset, values, financial freedom and the kind of life we wanted to model for our children.

Have you ever had that inner desire to make a difference in the world, but felt frustrated that so much of your time and energy was being poured into simply earning enough money to keep up with life, bills and raising a family?

Money Mastery quote about changing the world from within
The world can only change from within — a powerful idea behind our Money Mastery journey.

Money Mastery and the Desire to Make a Difference

Have you wondered what you could do if you had the resources of time, knowledge and money to be that difference?

Children grow up full of potential and excitement about their lives and what they wish to accomplish. Ideally, we as parents want to be an inspiration to them. We want to show by example that they too can achieve what they put their minds to.

Do you ever wonder what worldly achievements and contributions your children will end up making?

Cath and I have huge dreams. We are aiming for the stars. We aspire to achieve, experience and contribute in a grand way. We want to lead our own children to think big, experience life deeply and make a significant difference to the lives of others while they are here on Earth.

Money Mastery quote about thinking big and aiming for the stars
Money Mastery helped us think bigger about life, contribution and financial freedom.

This is our “Why”, and it is why we began the journey seeking the understanding and mindset shifts required to achieve financial freedom.

Paul Counsel and the Money Mastery Mentoring Program

This past year has been, by far, the biggest year for us in terms of shifting our mindset around success.

In March, we embarked on a year-long Money Mastery Mentoring Program led by Dr Paul Counsel. Paul opened our eyes to possibility, gave us tools to make the inner shifts required to achieve financial freedom, and helped us look more closely at the subconscious thinking and conditioning that can shape our results.

You can learn more about Paul Counsel’s current work through Money Mastery Academy.

Our year felt like a roller-coaster ride. There were ups, downs and plenty of bumps along the way. It was full-on trying to sort out the logistics of children, family life and busy schedules while still maintaining momentum.

Without our beautiful friends and family supporting us throughout the year, I am certain we would not have made it this far.

Stephen Covey quote connected to Money Mastery and personal change
Lasting change begins with the way we think, choose and act.

Money Mastery, Financial Freedom and Self Discovery

The Money Mastery program was largely about achieving financial freedom. But for us, it was also a self-discovery mentoring program.

Through the process, we revealed so much about ourselves: our deep-rooted values, our subconscious thinking, our conditioning and our future realities.

That matters because financial freedom is not only about numbers. It is also about beliefs, choices, habits, values and identity.

We came to understand that if our inner thinking does not shift, our outer financial results are unlikely to shift in a lasting way.

This is one of the lessons we want our children to absorb. Money is not just something to earn and spend. It is connected to choices, freedom, contribution and the way we design our lives.

Money Mastery and the Mindset We Model for Our Children

As parents, we can talk to our children about money, success and contribution. But what they watch matters even more.

They watch whether we think big or small. They watch whether we believe we can change. They watch whether we stay stuck in old patterns or choose to grow. They watch whether we simply talk about financial freedom or actually take steps toward it.

That is why Money Mastery was so important for us. It challenged us to look at the patterns we were living from and the example we were setting.

If we want our children to become confident, capable and entrepreneurial, then they need to see us learning, stretching and taking responsibility for our own growth as well.

Paul Counsel Money Mastery Mentoring Program quote about financial freedom and mindset
The Money Mastery Mentoring Program helped us reflect deeply on mindset, values and financial freedom.

Financial Freedom, Family Values and Big Dreams

One of the big distinctions for us was understanding the link between business, money and our highest values.

Our children have always been our highest value. That is beautiful, but it also meant that family life naturally took our time, focus and energy. We had to learn how to align our desire for business, contribution and financial freedom with our value of family, rather than feeling as if they were competing against each other.

That is one of the reasons Enterprise for Kids became so meaningful to us.

It allowed us to connect family, learning, enterprise and money lessons together. It gave us a way to grow our own entrepreneurial mindset while helping our children understand confidence, creativity, responsibility and opportunity.

Money Mastery helped us see that financial freedom is not separate from family. Done well, it can support family, strengthen choices and open up more possibilities for the future.

Our Money Mastery Review

As we reached the final weekend of our year-long Money Mastery Mentoring Program, we found ourselves reflecting on how much had changed.

There were many things to weigh up about what came next, but one thing was certain: our future felt as though it was opening wide before us.

We decided to write a full review of our Money Mastery Mentoring Program. In that review, we shared why we chose to take on such a mentoring program, what the year was like, and some of the massive distinctions that changed our lives.

We invite you to read about our journey and experiences, and to pass it on to interested friends.

Leo Tolstoy quote connected to Money Mastery and changing ourselves
Real change often begins when we are willing to look honestly at ourselves.

We are hopeful that when you read it, you gain inspiration and perhaps some real insight into your own life. We reflected on some of the reasons why things happen the way they do, and why they sometimes do not.

So go make yourself a cuppa, sit down in a comfy chair and take the time to read our full Money Mastery Mentoring Program review.

Read the full review here: Money Mastery Mentoring Program Reviewed

Key Takeaway: Money Mastery Starts From Within

Key takeaway: Money Mastery is not only about financial strategies. For us, it was about mindset, family values, financial freedom and the inner shifts needed to create a bigger future for ourselves and our children.

Where to Next?

Have you ever taken on a program, mentor or experience that changed the way you think about money, family and the future? We would love to hear your thoughts in the comments.

Entrepreneurship for Students: How Do Entrepreneurs Think?

Enterprise For KidsTeam Mindset, Confidence & Leadership, Raising Entrepreneurial Kids , , , , , , , , , 7 Comments
Jai Howitt discussing his entrepreneurial journey on The Pocket with Chris Griffen

Entrepreneurship for students is not just about starting a business. It is about learning how to think differently, spot opportunities, solve problems, take action and build confidence in the real world.

When children learn how entrepreneurs think, they begin to see that their ideas matter. They also begin to understand that money, work, creativity and contribution can be approached in a very different way.

Entrepreneurship for students shown through Jai Howitt coaching Chayse on business strategy
Jai coaching Chayse through business strategy and entrepreneurial thinking. Watch Jai coach Chayse.

Entrepreneurship for Students: How Do Entrepreneurs Think?

In an earlier article, we spoke of charitable entrepreneurs and successful business thinkers such as Richard Branson, Warren Buffett and John Templeton.

They, together with many other successful people, have extraordinary stories to tell about their entrepreneurial journeys. Some will tell you they struggled at school, dropped out, were dyslexic, or found reading and writing difficult. Others came from homes of poverty, while some were born into families where business and enterprise were already part of everyday life.

Although their backgrounds and circumstances differed, one thing often remained the same: they thought in a similar way.

It is not circumstance alone that creates an entrepreneur. It is mindset.

That is why entrepreneurship for students matters. Young people need more than information. They need the chance to develop the kind of thinking that helps them create opportunities, make decisions, solve problems and take responsibility for their future.

Why Entrepreneurial Thinking Matters for Families

What we have come to understand is that for our family to become economically and personally free, we need to question our conditioning around money and then reprogram our subconscious minds with a new success money mindset.

Many wealthy and successful people either developed this mindset from their upbringing, or they discovered it for themselves. Sometimes this happened consciously, through study and self-development. At other times, it happened unconsciously through experience, environment and action.

It is often said that only a small percentage of people live with real economic and personal freedom. The bigger question is this: what do they do differently?

More to the point: how do entrepreneurs think?

Before we look deeper into that, consider this.

Entrepreneurship for Students Starts with Money Mindset

Wealth creation and poverty mindset lesson for students
The way children think about money can shape the opportunities they see.

Whether we like it or not, we are being conditioned constantly to think a certain way about money. We are conditioned by our family, schools, advertising, politicians, television, social media and friends.

Many people become tied to jobs and debt because the conditioning they have received favours a money mindset of lack, rather than abundance.

Do any of the following sound familiar?

  • “Money doesn’t grow on trees.”
  • “Money is the root of all evil.”
  • “You’ve got to work hard for your money.”
  • “Get a good, well-paying job and you’ll be set for life.”
  • “Buy a home, it will be your best investment ever.”
  • “We can’t afford it.”
  • “What job do you want to do when you grow up?”
  • “Go for the cheaper ones.”

Only this morning, I was listening to a friend talking with his teenage sons. He told them they needed to get jobs. He explained that he had a job pushing shopping trolleys at their age. He even went down to the local IGA supermarket and picked up applications for them to apply for jobs.

When I was fifteen, I started out with a casual job working at a Target store. My hourly rate was $2.90 an hour.

All of the above are examples of conditioning. Much of our thinking about money, work and possibility is formed very early in life.

What Schools Often Teach About Work and Money

Our schools are largely designed to prepare workers for the workforce. Banks make money by selling debt. Governments collect taxes and often depend on people staying within predictable systems. Retail businesses make money by encouraging us to spend. Big businesses need workers to build their businesses.

There is definitely a design to much of this madness.

That does not mean jobs are bad. It also does not mean every child needs to become a business owner. However, it does mean young people should know there are other pathways.

They should understand that work, money, creativity and contribution can be approached in different ways.

This is why financial education for kids is so important. Children need to learn about money, value, assets, liabilities, work, enterprise and choice before they enter adulthood.

Entrepreneurial Mindset for Young People

What our family has discovered is that our money mindsets are changing. We are learning that it is okay to accept money and to have money. In fact, it is okay to offer something of value to others and receive payment in return.

Working hard in a job is not the only pathway for young people entering our big world.

There are other ways. These pathways can allow young people to follow their passions and dreams while making a meaningful contribution to whatever they consider important.

Wouldn’t it be fantastic if all our kids could achieve economic and personal freedom?

People who have achieved financial freedom through being entrepreneurial tend to have a mindset of abundance. Their habits differ. Their thinking differs. Their actions differ.

This is why we keep coming back to the bigger idea of raising entrepreneurial kids. It is not just about business. It is about helping children become confident, capable, creative and resourceful.

How Entrepreneurs Think: Lessons from Napoleon Hill

Napoleon Hill Think and Grow Rich entrepreneurial mindset lesson
Napoleon Hill studied how successful people think and act.

Rather than attempting to explain every detail of how entrepreneurs think, I will refer to one of the most influential books ever written on personal and financial achievement.

Think and Grow Rich by Napoleon Hill was originally published in 1937. Hill spent his life studying successful people and recording how they think and act. He became successful himself by following the distinctions in his own book and by modelling himself on his mentors.

Think and Grow Rich is essentially a book about what to do and how to do it. It explores ideas such as self-direction, organised planning, autosuggestion, mastermind association, self-analysis and the selling of personal services.

The thirteen steps to riches described in the book offer a philosophy of individual achievement that has influenced thousands of people’s lives.

This book could be worth a great deal to you and your kids, not simply because of the money ideas, but because of the thinking behind them.

At the time of this original article, Cathy was rewriting Napoleon Hill’s book in a way that would be suitable for kids to read, with simple explanations and modern examples they could better relate to. It was a work in progress, built around the idea that children should be able to understand powerful success principles in language that makes sense to them.

You can also learn more about Napoleon Hill’s work through the Napoleon Hill Foundation.

Entrepreneurship for Students in Real Life

For our family, entrepreneurship for students has never been just a theory. It has been something we have tried to encourage through conversations, real-life projects, mentoring and practical action.

Looking back now, we can see how these early conversations about entrepreneurial thinking have carried through into real life. The goal was never just to teach our children about business. It was to help them become confident, resourceful young people who could spot opportunities, solve problems and take action.

Today, we see that continuing as Jai shares business ideas and strategy with his younger brother Chayse, passing on what he has learnt through his own entrepreneurial journey.

Jai has gone on to build his own entrepreneurial path through creative work, content and business. You can see part of that journey through Art of Mondays.

Key Takeaway: Teach Students to Think Like Entrepreneurs

Key takeaway: Entrepreneurship for students is about far more than making money. It is about helping young people think differently, understand value, recognise opportunity, solve problems and take action in the real world.

Where to Next?

If you enjoyed this article about entrepreneurship for students and entrepreneurial thinking, you may also like:

We would love to hear your thoughts. How do you think entrepreneurs think differently, and how can we help children develop that mindset while they are still young?

Assets and Liabilities for Kids: The Money Lesson That Changed Their Thinking

Enterprise For KidsTeam Money Lessons for Kids , , , , , ,
Financial education for kids using three money jars for giving, spending and growing

Assets and liabilities for kids can sound like complicated financial ideas, but children can understand them surprisingly well when they are connected to real money and real choices.

One of the most useful money lessons we taught our children was simple: before spending money, ask whether what you are buying will help build value or keep costing you money.

That lesson became very real when our son Flynn began earning his own money through his honey business and decided he wanted to buy a motorbike.


Money lessons for kids using give spend and grow jars
A simple jar system can help children understand money choices.

Editor’s note: This article was originally written during our early Enterprise for Kids journey and has been refreshed with updated formatting, links and reflections while retaining the original story of Flynn learning about assets, liabilities and money choices.

Assets and Liabilities for Kids: Simple Definitions

If your child asks what an asset or liability means, you do not need to begin with accounting terminology.

A simple explanation is:

Asset meaning for kids: An asset is something that helps you build, keep or grow value. Some assets may also help you earn money.

Liability meaning for kids: A liability is something you owe or something that costs you money to own, use or maintain.

An easy question children can remember is:

“Will this help my money grow, or will it keep taking money away?”

That one question can open up some surprisingly useful conversations about spending, saving, investing and making choices.

Why Financial Education for Kids Matters

Robert Kiyosaki, famously known for his book Rich Dad Poor Dad, has often pointed out that children need a financial education and that they are unlikely to receive a complete financial education from school alone. You can learn more about his approach to money education at Rich Dad.

One of the most helpful starting points in financial education for kids is teaching children how to think about money in terms of assets and liabilities.

It gives them a simple framework for making better money choices as they grow.

A traditional balance sheet has two main sides: assets and liabilities. Children do not need to understand accounting in detail, but they can understand the basic idea that some choices help build financial value while others create ongoing costs.

This is also why practical money lessons for kids are such an important part of raising capable, confident and enterprising children.

Assets and Liabilities Explained for Kids

For adults, assets might include shares, investment property, businesses, precious metals or other things that can hold value or create income.

Liabilities may include debts and things that continually require money to own or maintain.

For children, we can make the idea much more practical.

A toy, bike, motorbike, game console or phone might be something they really want. There is nothing wrong with enjoying those things, but they usually do not put money back into a child’s pocket. Some also create extra costs through repairs, fuel, upgrades, subscriptions or accessories.

An asset, on the other hand, might help a child earn, save or build value over time.

For example:

  • supplies for a small enterprise
  • tools they can use to make or create something
  • equipment that helps them develop an earning skill
  • money saved for a future opportunity
  • simple investments made with parental guidance

The goal is not to teach children that spending is bad.

It is to help them understand that money gives them choices.

How Assets and Liabilities Change the Way Kids Think About Money

Assets and liabilities for kids explained through a simple money lesson
Helping children ask: will this help my money grow or simply take money away?

When children only think about money as something to spend, it can disappear very quickly.

They earn it, receive it or save it, then immediately begin thinking about what they can buy.

But once children begin thinking about assets, another possibility appears.

Money can also be used to create opportunities.

They might put some aside for a small business idea.

They might buy materials to make something they can sell.

They might save towards equipment that helps them develop a useful skill.

They might begin learning about savings accounts, shares or other forms of investing with their parents.

This is where financial literacy for students becomes practical.

It is no longer just about worksheets, definitions or classroom activities. It becomes a real decision involving real money.

These kinds of lessons connect closely with our family enterprise stories, because many of the most useful lessons our children learned happened while they were actually earning, selling, creating, saving or deciding what to do with their own money.

A Real-Life Assets and Liabilities Lesson with Flynn

This is where the idea became very real in our own family.

I had a good conversation with Flynn a while back.

He had made a large sum of money from his honey enterprise and had already spent some of it achieving one of his goals: buying an iPod.

Flynn also had some mates who were mad keen on riding motorbikes.

Before long, he had his sights set on buying one too.

It would have been easy simply to say yes or no.

Instead, we used the decision as a practical money lesson.

I explained that he could choose to buy a motorbike, but first he needed to understand what the purchase would mean financially.

The motorbike itself would cost money, but that was only the beginning.

There would also be:

  • devaluation
  • fuel
  • repairs and maintenance
  • safety equipment
  • other ongoing costs

In other words, buying the motorbike would not finish when he handed over the purchase price.

It would continue taking money from his pocket.

We then talked about Robert Kiyosaki’s ideas around balance sheets, assets and liabilities.

The Three Money Jars Flynn Started Using

Flynn took the conversation on board.

Rather than abandoning the idea of having things he wanted, he began thinking about how different uses of money could exist alongside each other.

He started keeping three jars:

  • one for gifting
  • one for the liability — his future motorbike
  • one for buying assets

I particularly liked this because the lesson was not:

“Do not buy the motorbike.”

It was:

“Understand what you are choosing, and don’t use all of your money for things that keep taking money away.”

That is a very different lesson.

The simple jar system turned an ordinary childhood purchase into a meaningful financial education experience.

You can read more about Flynn’s early enterprise journey in Honey Pot of Gold.

Simple Assets Kids Can Understand

So what assets can a kid actually have?

Children do not need to begin with complicated investments.

At first, perhaps the most valuable asset they can build is simply the habit of setting some money aside before spending everything.

Depending on their age and with parental guidance, children might learn about:

  • savings accounts
  • supplies for a small business
  • tools or equipment that help them create value
  • shares or managed investments explained in simple terms
  • collectables or precious metals as examples of storing value
  • reinvesting money back into their own enterprise

In Flynn’s case, one possible asset could have been more wholesale honey for his business, or even a beehive of his own.

That is what makes enterprise such a useful financial classroom.

Children can begin seeing that money used to create more products, serve more customers or develop a useful skill is very different from money that disappears through consumption.

At the time, Flynn also became interested in buying silver.

That conversation was useful because it helped him understand that money could be used for more than spending.

It could also be directed towards things that might hold or grow value over time.

This is not about telling children exactly what they should invest in.

It is about helping them develop the habit of thinking before they spend.

Financial Education for Kids: Precious Metals and Investment Lessons

Silver coins used as a financial education lesson for kids
Silver coins became part of a real-life conversation about assets, liabilities and money choices.

The original version of this post included a discussion about silver prices at the time.

That was part of the real conversation Flynn and I were having back then, so it is worth retaining as part of his financial education journey.

Precious metals such as gold and silver can be useful examples when teaching children about storing value, but prices change, markets change and every family’s financial situation is different.

The Perth Mint is one place families may come across information about gold and silver, but conversations about precious metals, shares or other investments should be treated as learning opportunities rather than financial advice.

For children, the deeper lesson is:

Money can be spent, saved, given, invested or used to build something valuable.

That one idea can shape the way children think about money for the rest of their lives.

How Parents Can Teach Assets and Liabilities at Home

Parents do not need to be financial experts to teach simple money lessons.

Some of the best opportunities happen when a child says:

“I want to buy this.”

Instead of immediately answering yes or no, that moment can become a conversation.

Try asking:

  • Will this keep costing money after you buy it?
  • Will this help you learn, earn or create something?
  • Is this something you really value, or is it just a quick want?
  • Could some of your money be kept aside for a future opportunity?
  • Could some of the money be used to create more money or value?
  • How could you use part of your money to help someone else?

These questions help children become more aware of their choices.

They also show children that financial education is not only about numbers.

Money choices involve values, priorities, responsibility and future possibilities.

That is the heart of financial education for kids.

It is not about making children fearful of spending.

It is about helping them become thoughtful, capable and confident with money.

For another family example, you may also like Kids Biz Program by Amber.

Flynn’s Enterprise Became His Financial Classroom

Flynn holding money earned through his honey enterprise
Flynn’s honey enterprise became a real-world lesson in earning, saving, giving and thinking about assets.

Flynn’s honey enterprise gave him much more than pocket money.

It gave him a real-world classroom.

Through earning, saving, spending, giving and thinking about assets and liabilities, he began learning lessons that many adults are still trying to master.

That is one reason we became so enthusiastic about enterprise as a learning tool for children.

When the money is real, the customer is real and the decision is theirs, the lesson suddenly matters.

Children running small enterprises, selling products, saving towards goals or deciding what to do with money are not simply learning business skills.

They are learning responsibility, judgement, patience, communication and decision-making.

They are learning life skills.

Discussion Questions: Assets and Liabilities for Kids

Parents and teachers can use these questions to help children think more carefully about money, spending, saving and value.

They work well as a family conversation, classroom discussion or simple financial literacy activity.

  • Is this an asset or a liability? Does it help your money grow, or does it cost money to keep?
  • Will this purchase create value? Could it help you learn, earn, build, create or solve a problem?
  • Will it keep costing money? Will it need repairs, upgrades, fuel, subscriptions, accessories or maintenance?
  • Could part of this money be used differently? Could some be saved, given, invested or used for a future opportunity?
  • What is one simple asset a child could build or buy? This might be supplies for a small business, tools for a useful skill, or money set aside for a future idea.

These questions are not designed to make children fearful of spending.

They are designed to help children pause, think and make more thoughtful money choices.

Key takeaway: Teaching assets and liabilities for kids does not require complicated financial lessons. For Flynn, it began with money he had earned himself, a motorbike he wanted to buy and one simple question: will this help my money grow, or will it keep taking money away?

That real-life decision became a lesson in earning, spending, giving, saving and building assets that stayed with him far longer than a worksheet ever could.

Money Mindset for Kids: Moving Beyond Earn, Spend and Borrow

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money mindset for kids and financial freedom

In the last blog we spoke about who it is that teaches our kids about money. In this post we’d like to delve a little deeper into that topic, because understanding our money mindset is such an important part of changing it.

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Our intention is to build an understanding of why most of us have settled into the role of being a “worker” rather than following a more entrepreneurial path. You will also learn a little more about what we are endeavouring to achieve as a family, and why developing a healthier money mindset for kids matters so much to us.

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Kaitlin learning about money mindset for kids
Kaitlin represents the challenge many teenagers face as they learn about money, work and independence.

Money Mindset for Kids: Moving Beyond Earn, Spend and Borrow

Our kids, like all kids, want to have their own money so that they can have a little independence and buy the things that they want. In our family, our children sometimes receive money when it is their birthday and they also get a little pocket money.

Kaitlin, our eldest, has a part-time job working at a local brewery serving lunches and helping in the kitchen. She works hard and it pays pretty well. However, to take on a job, she loses some of her weekends and time to do school work and have a social life. She also commits time to regular babysitting work for some of the families in the area.

What Is a Money Mindset?

At present, the money mindset of our children is much the same as ours, which is likely to be the same as most other people, and that is to earn money, spend money and borrow money.

Generally, most of us either have a job where we give time for a salary, or we have a business where we still give our time for a monetary return. Whatever the case, we are often tied down and limited by what money we earn, and we sacrifice our time for it. Sound familiar?

The funny thing is that right from an early age we are conditioned to accept this as normal. Often our minds become closed off to entrepreneurial ideas and opportunities. Schools train us and prepare us for the workforce. Parents often do the same by pointing us towards a vocation.

Adding to this, media advertising, TV, politicians, universities and our peers all guide us towards getting a job. It is all around us — well-intentioned people and institutions keeping us on the “straight and narrow” path of getting a job (earn), then spending our money on things (spend), and then borrowing money to spend on even more things (borrow).

The Earn, Spend and Borrow Pattern

Finance companies advertising loans and debt as part of a money mindset
Advertising constantly reinforces an earn, spend and borrow money mindset.

Look at the people around you and you will see this pattern repeated everywhere. People with expensive things like houses, TVs, holidays, cars, boats and caravans. Most are servicing mortgages or loans to pay for it all.

The more things they acquire during their lives, the harder and longer they often have to work to pay for those things. Most people can see no obvious way out of their situation and simply accept that this is what is supposed to happen.

That is one reason why understanding money mindset for kids is so important. If children grow up believing that the only option is to work, spend and borrow, then they are likely to repeat that cycle without ever stopping to question it.

How the Rat Race Shapes Our Thinking

The rat race showing the worker mindset and earn spend borrow cycle
Many families become locked into the Rat Race without ever questioning the pattern.

In fact, many of us have been conditioned to accept a financial mindset that locks us into what many people call the Rat Race.

Now you may challenge us by saying, what’s wrong with our kids entering the workforce? What’s wrong with spending what they earn and borrowing some more? Honestly, there is nothing right or wrong about it at all. It simply is what it is.

For us though, we are looking for a new direction — one where we have the time to follow our passions and the freedom to give to our family, community and world without constantly worrying about how to pay for it. Our goal is to move beyond a narrow “worker mindset”.

We seek to know how the relatively few financially and time-free people managed to rise above the Rat Race. We want to know what they do that is different. How do they think? What is their conditioning around money? What kind of money mindset have they built?

Why Money Mindset for Kids Matters

What’s more, we wish for our kids to grow up with the mindset of an entrepreneur. It is important to us that they receive a real financial education for kids, not just an education that prepares them to earn a wage.

Financial education for kids does not usually come from school
A financial education for kids often begins at home, not in the classroom.

From what we’ve discovered so far, kids need to start very early if they are to develop an entrepreneurial mindset and the skills needed to manage money and build enterprise. They need role models who can foster different thinking, and parents who encourage and look for opportunities that develop enterprise.

Open discussions about money, business, debt, freedom and opportunity all help to build a better money mindset for kids.

We want our seven children to grow up having choices. We want their pathways to be wide with opportunity. We encourage them to follow their passions and not simply be conditioned into the “earn, spend and borrow” mindset. We hope they will think differently, believe in themselves and develop the habits of people who achieve both personal and financial freedom.

Our Family Is Learning Too

We know we have a challenge ahead of us, because our kids have already been conditioned from an early age — just as we were.

Using Kaitlin as an example, she earns money, spends freely and already has a debt. She is studying hard to go to university with all her friends and then, ultimately, to get a good-paying job. Once again, I’ll point out that there is no right or wrong about this, only that we would like her to see that there are other ways.

It is always going to be a challenge while we still carry some of that same conditioning and mindset ourselves. Although we are striving to change our thinking, we recognise that it will take time and persistence to learn new habits and shift old belief systems.

However, we are very confident that this year is the year that we will have a breakthrough. We have enlisted the help of a Money Mindset personal mentor who is helping us develop a new way of thinking. He is there to help us transform our thinking through our actions — and as we do so, so will our children.

In upcoming blogs we will continue to share this journey with you, including the lessons we are learning about building a stronger money mindset, creating more opportunity, and helping our children develop an entrepreneurial way of thinking.

Key Takeaway: A Money Mindset Can Shape a Family’s Future

Key takeaway: A family’s money mindset shapes how children see work, spending, debt, business and opportunity. Building a stronger money mindset for kids can help children grow up with more choices, wider pathways and a better understanding of enterprise and financial freedom.

We believe that changing a family’s money mindset can change a family’s future.

Where to Next?

What money mindset are your children learning from the world around them?

Money Lessons for Kids: Who Is Teaching Them About Money?

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Kids watching a TV advert showing how advertising shapes money lessons for kids

Money lessons are happening all around our children, whether we notice them or not. If you don’t teach your kids about money, then there are plenty of people out there who will. And not all of them will teach your children what they really need to know.

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Media, celebrities, advertising, peers, schools, banks and family choices all help shape what children believe about earning, spending, borrowing and wanting more. That is why money lessons for kids need to begin at home, in the everyday moments where children ask for things, make choices and learn how money really works.

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Teen magazine showing how media can shape money lessons for kids
Kids are constantly receiving money lessons from media, celebrities, advertising and peers.

Money Lessons for Kids: Who Is Teaching Them About Money?

Our kids are educated financially from many sources, whether we like it or not. Everywhere they go and everything they look at is conditioning them around money.

For example, teenage kids are very influenced by their peers, TV, advertising and social media. They are pressured to want to have all the latest and greatest of everything. AND… they have to have it now!

If you have a teenager in your house, or even a preteen, you will understand this very well. They will tell you that they are the “only” ones in the “whole world” who don’t have one. And if you try to compromise with a cheaper version from Target… well, forget it! Brand name or nothing!

The Money Lessons Children Learn From Wanting More

Many parents fall into the trap of giving in to their kids’ persistent demands. We have… more times than we should have! And the older a child gets, the better they are at arguing their point.

Sometimes parents lend their child the money with the view of having them pay it back when they can afford it. Other times, parents simply pay for the item fully and do not expect their child to pay anything back.

But what is this teaching children?

That is the question we had to ask ourselves when Flynn wanted an iPod for school camp.

Flynn’s iPod Money Lesson

Our son Flynn was preparing to go on a camp with his school. He claimed that ALL the kids would have iPods, and that he wanted to buy one to take on camp.

Flynn Howitt learning money lessons for kids through his iPod goal
Flynn’s iPod goal became a real-life money lesson about earning, choices and avoiding debt.

He counted up his money and found that he was short about $100. He was very persistent in his request, so we decided to sit down and have a conversation with him around the value of money.

Our dilemma was this: if we were to say an outright, “No, we can’t afford it,” then we would be conditioning him with a mindset around lack of money.

On the other hand, if we said, “Yes,” and simply paid for it, then we would be conditioning him with the mindset to borrow, then spend… and he would probably not appreciate it too much.

So…………… we came up with another solution.

Turning a Want Into a Money Lesson

We said, “Yes.” He could buy an iPod. However, we were not able to pay for it.

Instead, we brainstormed ideas with Flynn on how he could raise the $100 himself. Time was of the essence, as he was going on camp in three days.

Together, we came up with several ideas. He could increase the marketing of the honey he was selling through his Honey Enterprise. He could sell some of his unwanted things, such as his surfboard. He could also do a deal with his sister and buy the items she had lined up to sell as part of her New From Old enterprise, then resell them with a mark-up.

The discussion gave him motivation, and we took the punt that if he was really keen for the iPod, then he would make it happen.

The point of all this is that we didn’t automatically say, “No, we can’t afford it,” and we didn’t say, “Yes, and we will pay for it.”

Rather, we put the onus on Flynn to work out a way to achieve his goal without getting himself into debt. We used this opportunity to teach Flynn about money.

Who Is Teaching Your Kids About Money?

In our society, kids are conditioned to earn, spend and borrow from a very early age. This conditioning can carry through to adulthood and tie people to a job, especially when they need that job to pay for the interest payments on their “things”.

That is why money lessons for kids matter so much. If we do not consciously teach children how to think about money, they may simply absorb the messages around them.

Sporting heroes and advertising shaping money lessons for kids
Sporting heroes are often used to influence what children want to buy.

It is hard for our kids to avoid this type of conditioning. Their sporting idols appear on TV advertisements telling them what a great investment they are making if they buy x, y or z… and finish with a trusting wink!

In the same way, celebrities promote all sorts of things, from insurance and jewellery to holidays. Retailers offer low-cost, easy monthly payments for expensive items that people may not really be able to afford.

There goes the “earn, spend and borrow” cycle again.

Advertising Teaches Money Lessons Too

Advertising does not just sell products. It also teaches children what to value, what to want and how quickly they should expect to have things.

For this reason, parents need to be part of the conversation.

When a child says, “Everyone has one,” or “I need it now,” there is an opportunity to slow the conversation down and ask some better questions:

  • Do you really want this, or do you feel pressured to want it?
  • How much does it cost?
  • How could you earn the money?
  • What would you need to give up to buy it?
  • Could you buy it second-hand?
  • Could you create money rather than borrow money?

These simple questions can turn everyday wants into powerful money lessons.

Schools, Debt and Financial Choices

The education system may teach many important things, but practical money education can still be limited. Many young people move towards adulthood without having deeply discussed debt, credit, consumer pressure, business, enterprise, financial freedom or how to make money work for them.

Student debt showing why money lessons for kids matter before adulthood
Young people can face financial pressure before they have learnt how money really works.

As a result, many young people begin adult life already carrying financial pressure. This might come through study costs, consumer debt, car loans, lifestyle spending or the general cost of getting started.

That is why a financial education for your kids before they leave home matters.

The Australian Government’s MoneySmart guide to teaching kids about money is a helpful reminder that parents can start early and make money part of everyday conversation.

Can These Money Lessons Change?

Enterprise for Kids image about changing money lessons for kids
Money lessons can help children see new possibilities.

We can look at life as being a game full of experiences. We are here on earth to play the game.

Yet from an early age, the odds can feel stacked against us achieving personal and financial freedom when we are conditioned to earn, spend and borrow for unproductive things.

Can this change?

Absolutely.

And who is the best person to teach this change to your children?

Well, if you have already achieved financial and personal freedom, then the best teacher is YOU!

And if you haven’t, then find someone who has achieved the type of financial or personal success you would like for your kids. You may even learn something in the process. 🙂

Money Lessons for Kids Begin at Home

The most powerful money lessons for kids often begin in ordinary family moments.

A child wants something.

A parent has a choice.

We can shut the conversation down, pay for everything, lend the money, or turn the moment into a learning opportunity.

Flynn’s iPod story reminded us that teaching kids about money does not always require a formal lesson. Sometimes it simply requires a different conversation.

Instead of saying, “We can’t afford it,” or “Yes, we’ll buy it,” we can ask, “How could you create the money?”

That question changes everything.

Key Takeaway: Money Lessons Are Happening Every Day

Key takeaway: money lessons are happening around children every day. Media, peers, celebrities, advertising and family choices all shape how kids think about money. Parents can use everyday wants, like Flynn’s iPod goal, to teach children how to earn, choose, create value and avoid unnecessary debt.

Where to Next?

Who is teaching your children their money lessons — and what are they learning?