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Age & Development of
Money Concepts
Ages Children
Grasp Basic Money
Concepts
Toddler: 1-3 Years
Toddlers watch money being used to buy things.
They begin to understand some basic concepts.
Ownership – Begin to understand that they are
the owner of objects - “Mine!”
Sharing/Giving – Sharing is a part of life.
Especially if they have siblings!
Money Recognition – Begin to recognize
that money (coins or dollars) are used to buy
things.
Pre-School: 3-5 Years
Children begin to sense the power of money at
this age.
Purchasing Power – Begin to understand
the power of currency. Quarter buys a gumball
but not a toy.
Giving – Pre-schoolers begin to understand
giving. “Look what I drew for you mommy!”
Choice – Children begin to understand they are
making choices. Such as what color
crayon to use in the coloring book.
Elementary: 5-12 Years
Really begin to understand the basics of money.
Value – Begin to understand the value of things.
Dollar is worth more than nickel.
Opportunity Cost – They understand they have
to sometimes give up something. Forgo the
Gummy Bears for Sour Patch Kids at the movies.
Future - Begin to develop an awareness of
the relationship between today's decisions &
tomorrow's results

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Age & development of money concepts

  • 1. Age & Development of Money Concepts Ages Children Grasp Basic Money Concepts
  • 2. Toddler: 1-3 Years Toddlers watch money being used to buy things. They begin to understand some basic concepts. Ownership – Begin to understand that they are the owner of objects - “Mine!” Sharing/Giving – Sharing is a part of life. Especially if they have siblings! Money Recognition – Begin to recognize that money (coins or dollars) are used to buy things.
  • 3. Pre-School: 3-5 Years Children begin to sense the power of money at this age. Purchasing Power – Begin to understand the power of currency. Quarter buys a gumball but not a toy. Giving – Pre-schoolers begin to understand giving. “Look what I drew for you mommy!” Choice – Children begin to understand they are making choices. Such as what color crayon to use in the coloring book.
  • 4. Elementary: 5-12 Years Really begin to understand the basics of money. Value – Begin to understand the value of things. Dollar is worth more than nickel. Opportunity Cost – They understand they have to sometimes give up something. Forgo the Gummy Bears for Sour Patch Kids at the movies. Future - Begin to develop an awareness of the relationship between today's decisions & tomorrow's results