Teach Kids about Money Philippines: AGE-BY-AGE Guide

“If you don’t teach kids how to manage their money, somebody else will.”

Can you imagine some kid taking advantage of your child’s ₱50 lunch money because they don’t understand how it works? That’s not a risk you want to take. 

Unfortunately, many Filipino families tend to skimp on teaching kids about money because apparently, it’s a topic dedicated to grown-ups. But the truth is, the best time to teach Filipino kids about money is while they’re young.

Some kids might find the lessons tedious. So I’m here to teach you how you can discuss the concept with them in a manner they will understand and appreciate!

NOTE: The tips here are derived from the many parenting books I’ve read and most importantly, from the financial upbringing of my dear parents which I hope to pass on to my child and to your children as well.

Teach Kids about Money Philippines: AGE-BY-AGE Guide

There’s no minimum age requirement before you impart essential money lessons to your kid. In this guide, we’ll be providing actionable tips that cater to children of various age groups, so you can implement them regardless of your child’s age.

1. Ages 2 and 3

Typically, this is the age where Filipino children learn how to count. Moreover, children of this age are beginning to grasp and associate symbols with their surroundings. For example, if they see big golden curves of the letter J, they easily know it refers to Jollibee. 

Although the concept of money may still sound foreign to them, you can begin by familiarizing them with the colors and the numbers written in coins and bills. Say, 3 silver coins of expanding diameters represent ₱1, ₱5, ₱10, respectively. Orange paper bill is ₱20, red is ₱50, and purple is ₱100.

Basic knowledge of numbers teaches them that the smallest coin has the least value, and the purple one has the most.

2. Ages 4 and 5

Teach kids how to pay

At this age, children are actively learning. And the best method to assimilate information is through experiential learning. 

Typically, when children pretend play, say, cooking for a restaurant, they often disregard the concept of payment. Spend an afternoon session with them and introduce payment as they play. Pay for their services with money, and ask them to give you a change in exchange.

The point here is to make them understand the importance of money to buy goods or services — that without it, they can’t get anything.

Teach kids how to save 

It’s not unusual that children often ask parents to buy something for them. And when your child does, this can be an entry point to introduce the concept of saving.

If your child asks for a toy, instead of promising it to them on New Year’s eve or Christmas, why not encourage your child to set up their own piggy bank? Inform them that they can buy whatever they want as long as they save up for it. 

Encourage them to avoid depleting their baon so they’d have some left for saving. You may also pay them for good deeds, say when they clean their room or make their bed, to help them save further.

3. Ages 6 to 8

Teach kids about budgeting

It’s easy to splurge when kids think they got all the money in the world. But It’s necessary to teach them how to properly allocate their resources.

If they have a weekly allowance of ₱500, ask them how they plan to spend it, also ask them what they plan on doing with the remainder. If they get all dreamy about spending it extravagantly, remind them about not receiving any extra allowances for the rest of the week. This way, they’ll understand the concept of budgeting better.

Teach kids about valuing hard work

Money doesn’t fall from the sky. Kids should know that by now, and they must have a clear grasp of how hard their parents work for their future. By inculcating the principle to them, they will be even more cautious about spending their resources aimlessly.

Plus, they might even awaken the entrepreneur within them and start selling some snacks to their classmates. Who knows? Simply remind them that hard work is often rewarded. 

4. Ages 9 to 12

Teach kids about comparing

As kids grow older, they become more familiar with various products and begin to set preferences. Divert this energy towards groceries. When you visit the store, try to let them compare products based on price, brand, volume, and quality. The latter is a bit subjective, so experimenting with various products might work. Just remember, never sacrifice quality for the price!

Teach kids how to negotiate

Everyone has heard of “tawad” or haggling before, but your kids might not have. When we teach Filipino kids about money, one crucial concept is negotiation, and that it is an essential life skill, especially when purchasing items from bargain shops. The best way to teach them about this is by modeling the skill. Eventually, they’ll get the hang of negotiating (just don’t do it in grocery and convenience stores).

Teach kids how to make counter-offers

Sometimes, tawad just doesn’t work and you’ll need to give some to get some. Teach your kids to make their proposals more appealing by giving counter-offers. For example, they wish to extend 30 minutes of playing on their computer, ask them a counter-offer first before you permit them.

Teach Filipino Kids about Money: Age-by-age Guide

5. Ages 13 to 15

Teach kids about money-making

As mentioned above, some kids might awaken their inner entrepreneurs when they understand the value of hard work. But it’s at this age when it’s best to teach them how to be resourceful and creative in earning side hustles. They may sell some products in their class, apply in some local shops, or even earn online, all they need is a little nudge.

Teach kids how to grow their money

Earning is one thing, it’s a form of active income or money they earn from service. But growing money is an investment they can earn passively. This can happen via interests earned from saving in bank accounts or investing in the stock market. But those are discussions for another day.

Final Thoughts

There’s no such thing as being too young to learn about money. Teaching your child how to manage their resources is a bedrock for financial literacy. So I implore you to teach them while they are young to propel them towards financial freedom.

Did you find this article helpful? How do you think we should teach kids about money in the Philippines? And what money lessons do you wish to impart to our fellow parents as well? I would love to know!

Teach Kids about Money Philippines: AGE-BY-AGE Guide


By Ameena Rey-Franc

Recognized as one of the Top Finance Blogs in the PH. Ameena Rey-Franc (founder of TTP) is a former Banker and BS Accountancy graduate turned Blogger, Keynote Speaker, and entrepreneur. Currently an RFP delegate, she is also the Author of a book about Financial Resilience and has held seminars for reputable companies like GrabFoodPH, Pru Life UK, VISA, JPMorgan Chase& Co., Paypal, Fundline, Moneymax, and many more. The Thrifty Pinay's mission is to empower women to LEARN, EARN, and be FINANCIALLY-INDEPENDENT no matter what life stage they are in.