Children who learn how money works early are far more likely to grow up managing their finances well. Here’s how to make those lessons real—with practical tools and current government guidance:

Start with the Basics
Begin with simple conversations at home. Explain where money comes from (work, business) and how it’s divided between needs (like food or rent) and wants (like toys or games). These small chats help children understand that money is earned through effort and must be spent thoughtfully.

Use Junior ISAs
For the 2025–26 tax year, the Junior ISA (JISA) allowance is £9,000 per child. These accounts are tax-free and come in both Cash and Stocks & Shares versions. Children must be under 18 to hold a JISA. They gain control of the account at age 16 but cannot withdraw funds until age 18.

Use Money Apps That Teach Through Practice
There are now several Apps and cards designed for children offer hands-on learning. Tools like Hyperjar, GoHenry, Rooster Money, and Starling Kite offer features like spending tracking, visual goals, and parental oversight. All children from 6 years old are eligible for these tools.

Reinforce Saving and Sharing Through Practice
Encourage children to divide money into three categories:

1. Spend: money for day-to-day treats or small purchases.
2. Save: funds being set aside for a bigger goal—like a toy, game, or book.
3. Share: a portion set aside for others, such as gifts or a charitable donation.
   Some junior accounts and apps make this division simple by letting kids create separate “pots” or goals to track their savings visually.

Lead by Example
Children learn best by watching their parents. When they see you budgeting, saving, or making thoughtful spending choices, those behaviors become part of how they think about money.