As the holiday season swings into full gear, there’s a slight chill (Lord willing, for us Memphians) and a tinge of anticipation in the air. As we reflect on this year and look forward to the hope of the future, we find a wonderful opportunity to teach our kids valuable lessons about money. Between religious festivities, holiday spending, wish lists, and the spirit of giving, it’s a perfect time to start conversations that help our children understand budgeting, saving, and the importance of generosity. These lessons can be both fun and memorable, setting a foundation for your kids to build healthy financial habits that will last a lifetime.
Here are a few ways to make holiday money lessons fun and meaningful for the whole family:
1. Set Up a “Holiday Allowance”
Consider giving each child a small “holiday allowance” specifically for his/ her own holiday spending. This can be used for treats, small gifts for family members, or even special decorations for their room. By giving them their own budget, you allow them to make choices, practice decision-making, and experience the real-life trade-offs that come with managing money.
Our 9-year-old niece and 10-year-old nephew have their own bank accounts (linked with their parents’ accounts), and they can do extra chores around the house to get an allowance each month. This year their parents are encouraging them to check their bank balances before and after buying treats for themselves or presents for others, and using debit cards so they learn the value of money from a young age.
2. Teach the Joy of Giving
Encourage your kids to set aside a portion of their holiday allowance for a charitable cause. This can be a powerful way to show the impact of even small acts of generosity. Ask them to think about who or what they would like to support and why, whether it’s a local church, animal shelter, or food pantry. Making generosity a part of their holiday traditions will help them experience the joy of helping others and see how they can make a difference.
Our family is starting a new tradition of adopting a Salvation Army Angel Tree child each year so we can begin laying the foundation with our boys to give back to those who are less fortunate. It’s also another opportunity for our precocious toddler to continue learning about sharing with a grateful heart and attitude (as if his baby brother isn’t already initiating him enough).
3. Host a “Family Finance Night” with Games
You may be thinking, there’s no way finance can be fun…but have you ever tried a family game night?! Set up activities where older kids can earn play money to answer financial questions, solve budgeting puzzles, or discuss creative ways to give back. You could even create a mini “store” with items for them to “purchase” using their earnings from the night.
If you aren’t a natural inventor, Amazon has some great, affordable financial literacy games for all ages. This playful approach makes learning about finances less formal and more interactive, building financial literacy while everyone has fun together. Nothing says family bonding like some friendly competition.
4. Read a Story Together
Consider picking a holiday-themed book or story with a financial twist to read together. Some children’s books gently introduce concepts of saving, sharing, or the importance of patience. Stories help illustrate the values around money in a relatable way and can open up great discussions about how to handle finances wisely.
Some of our family favorites include The Beginner’s Bible version of the story of Jesus’ birth, A Christmas Carol (which naturally pairs perfectly with watching The Muppet Christmas Carol afterward), and Construction Site on Christmas Night, a heartwarming tale of construction trucks coming together to build a fire station for first responders.
5. Make a “Family Finance Wishlist” for the New Year
Use the holiday season as an opportunity to discuss your family’s financial goals for the upcoming year. Create a wishlist together with goals like building a fully funded emergency fund, saving for a family trip, or making charitable donations routine throughout the year. Ask the kids to add their own goals and ideas to the list, helping them feel involved in the family’s bigger financial picture.
These little holiday moments can go a long way in helping kids build a healthy relationship with money and encourage open, ongoing conversations. And who knows? You might just create some new family traditions along the way. May the holiday season be a time to teach your children that finances aren’t just about numbers—it’s also about choices, values, and the joy of sharing with others. Here’s to a holiday season filled with joy, laughter, and memorable lessons in “dollars and sense!” Merry Christmas!
