5 Family Money Rituals

Normalising Talking About Money with Children

You may have money rituals and traditions of your own, but if you don’t have any yet, or if you’d like to create some new ones, read on for some ideas!

According to psychologist Barbara H. Fiese, family rituals give children a sense of belonging and security, and symbolically instil a sense of, “This is who we are as a family and this is how we behave.”

A family money ritual is an activity your family does consistently and regularly. It doesn’t always have to involve money, and not only communicates family beliefs, values, and thoughts about money, but is also an opportunity to talk about money in a fun, unemotional way. The ritual could be as simple or as elaborate as works for your family, as long as it’s unique to and understood by all members of the family.

Ritual One – Lounge Picnics

Depending on the age of the children, a lounge picnic could be an informal chat about money values and how the family’s budget and spending is aligned with the family’s money values. It could include creating a family values poster. As the family changes, matures and grows, so could some of the values, as well as the poster. Display the poster for everyone to see and bring it out at each picnic to discuss.

Ritual Two – Invent a Money Motto

A family money motto is a sentence encapsulating the family’s money beliefs and values in a way that makes sense to all family members. Some examples could be:

In the Smith family, we save before we spend.

The Smith family members are savvy, wise owl savers and spenders.

Our family budgets, saves, invests and makes a difference every day.

We are always learning, earning and growing.

You could turn the motto into a poster and display it as a reminder.

Ritual Three –Celebrate Saving

Every time the family saves money, whether it be a decision not to spend, an actual savings made on a purchase or family bill, or putting money into a money jar, bank account or investment portfolio, have a specific cue that your family uses to communicate how proud you all are of the saving effort and achievement, no matter how small. The cue could be a simple dance movement, a hand movement, a word or even a facial expression. When deciding on the cue, consider something that could be small and quick when out in public, but can also be big, wild and noisy when the family is home or alone and free to express themselves. Not only is this a fun way to celebrate saving but you are creating a positive association with the act of saving.

Ritual Four – Declutter and Sell in the Second-Hand Economy

Tell your children the family is going on a treasure hunt and suggest each family member (including the adults) hunts for something they own that they don’t use anymore and could sell. Together as a family, decide whether it can be sold or whether it’s too far gone, research the price new and second hand, decide which price to sell at, take photos, write the copy and list the sale. Decide up front and agree on what the money from the sale will be used for and who it will go to – will it be the family as a whole, or the owner of the item sold? This ritual also affords children the opportunity to do real selling - in real time, in a real economy, with real money.

Ritual Five – Embark on Family Savings Challenges

Family savings challenges are fun, creative ways to encourage a saving mindset and habit. Place a clear jar in a hub area in your home so everyone can add to it and watch it grow. If your home is cashless, open a separate bank account and call it, “Family Savings.” As a family decide what the money will be used for.

Consider these four savings challenges:

• The Coin Challenge - Place all $1 and/or $2 coins in the jar or transfer into savings account.

• 31 Day Challenge – Pick a month and on each even day, put $1 in the jar. On each odd day, put $2 in the jar. You can also set up an automatic payment into savings account.

• The ‘No Spend’ Challenge – Pick a day, week or weekend and only spend money on necessities. Put all money saved (i.e., what you would have spent) in the jar, or transfer into savings account.

• The Round Up Challenge – If you buy something for $48, you will round it up to $50 and put the $2 in the jar or transfer into the savings account.

As children get older, they may not wish to take part in family money rituals and their money values may differ from yours, so some rituals may need to change or at least be discussed. A money ritual will only be effective when all participants are willing and enjoying taking part.

Laurel Makowem is a Certified Financial Education Instructor and founder of Mothers Teaching Money, a business and movement helping parents raise financially confident, responsible and independent adults, regardless of their own financial knowledge or situation.

Her mission is to demystify financial literacy through the Millionaire Mindset Money System, a comprehensive holistic financial education system. She provides fun online courses, workshops and products for children from 4-18 years.

Laurel can be reached at mothersteachingmoney@gmail.com