Designed to teach children lessons of the power of setting financial goals and of saving, the book includes puzzles, games and challenges. It also addresses spending wisely, the effects of inflation, and the benefits of asset allocation and diversification.
“The need for financial education has never been greater,” said Stuart Ritter, a T. Rowe Price financial planner. “The activities make important financial concepts accessible to kids at an early age and help make learning fun. By encouraging children to ask their parents questions about money matters, the book is also a great tool for helping families have smarter conversations about setting goals, making better saving and spending decisions and other financial topics.”
In its recent “Parents, Kids and Money” survey, T. Rowe Price discovered that for those parents who discuss money with their children, a quarter of the time their offspring forget what their parents told them. Ninety-two percent of parents who give their children money discuss how it should be handled, but 43% of children spend all of the money at once, and 39% come back to ask their parents for more.
Sixty-six percent of parents think they could be doing more to teach their children about money, and only 28% believe they are very prepared to discuss basic financial principles such as setting goals, the importance of saving, smart spending, inflation and diversification.