Papa Jack and Isaac Smiling

How do you talk to kids where money comes from?

So, how do we get our money? How do we handle this question? Because that’s surely a question your child will ask you at some point. And this is a great opportunity to talk to them about how people earn money. I grew up poor and because of that my parents always talked to us about how important to manage money properly. Through those experiences and learnings, we got something here for you. So how do you talk to your kids where the money comes from?

Right now, I have a 3-year old kid and at this time he already started to ask for money. We had a classic example, a few months ago we went to the National Bookstore and he started to pick some stuff to buy. He suddenly asked, “Papa, can you buy this for me?”. With hesitation, I asked, do you have a budget? He said, “No but you have a budget”, he said. I was stupified by his answer and could not say anything. Now, I was caught off guard with that question. I started laughing while my wife was looking at me so instinctively. The ending I bought him the stuff that he wanted. That made my day! These are some scenarios that your kids will ask you. Be prepared.

Be Prepared

Furthermore, when they started to ask about where the money comes from, its best to give a simple answer. Toddlers, as I have, could not process huge information like God owns everything. They could not process that on their head. Simple answers like, that money comes from that pocket or from my pocket. Now, it would be a different story depending on who asked the question, if you have several kids with different age level. Your answer should differ from their age and their level of understanding but should have the same context.


Meanwhile, when you go to work or do business, you bring in income or salary. That fills up your family financial bucket, and from there we spend for household expenses, which depletes our family budget over time. Then, we need to repeat that process of going back to work, earning money again, to pay for the things that are most important for our family. That where this situation comes in, we need to teach kids about the importance of money. We can also teach them how to save out from their allowance weekly. Give them some strategy that they can try like saving up so they can use the money anytime they need it.

Learn from Other family

Well, another person which I know personally who intentionally teaches their kids about money is the Tan-chi Mendoza family. Its good to have mentor you look up too when it comes to money. They have a lot of examples and I’d like to echo this on this blog. I want you to directly read some of their example from their blog here.

Along with this, the reality is our kids are under a lot of pressure. They’ll sometimes go to school and realize they don’t have certain things that their peers have. They might ask you questions like, are we poor, or are we rich, or are we just somewhere in between? And this is a great opportunity to talk to them about what money means. How much to have, and how much we need, and most importantly, what is it that really defines us?

Does it really matter if we’re rich or poor? Or are we able to cover the expenses that we most need to take care as a family? Besides, money I believe shouldn’t define us. The earlier we teach this message to our children, the more confident they will have in their self-awareness. You do not want them to ask this question outside your home.

Self worth – Not all about money

Also, this is a great opportunity to teach your kids about a heavier topic which is self-worth. About the importance of valuing experiences growing up, your time together with your family. Living with the people that they love, over material things.

If you can teach them that, then they will feel whole without having to buy that next new gadget. Their jewelry, that new pair of shoes, or that new toy. We change their mindset about money. Whatever we bring today they will take it along with them as they grow up. Put emphasis on your time together, experiences together, and that will give them a great sense of worth.

If you think this article is helpful, please I encourage you to put your comment below or share this link to you social media. If you have a suggestion which you do not feel like writing here, feel free to email me

Hi, my name is Jack Marbida, I am a financial advisor from Sun Life Financial for over 4 years now. My goal is to help thousands of Filipino people understand and embrace the spirit of financial preparation through our program, “Financial Freedom”. I know you need help but you just don’t know where to start. Allow me to help you establish a brighter future. Click here for more information. Check what I have been doing here.

38 thoughts on “How do you talk to kids where money comes from?

  1. We have been teaching our kids about money from a very young age. It’s so important that they know how to be responsible with money.

  2. money talk to kids, yes very important. they have to learn how to value money early on…..and yes, teaching them also the value of experiences and memories over money…..

  3. I am so glad to know that your savings will help in your kid’s education. I hope you can teach your kid about money without any trouble as kids are very curious and they ask so many questions.

  4. This is such a great topic. We try and teach our kids the value of working and earning, as well as saving money. So important!

  5. What great tips on teaching kids about money. I’m a preschool teacher and I rarely get students’ questions about money.

  6. Kids are curious and always like to learn about everything – it is best to be prepared for those kind of questions 🙂

  7. This article is substantial. Sometimes, in dealing with kids you will be amazed by how deep and innocent they think. And how their tricky questions can leave you speechless. That’s why we should be prepared.

  8. What a great post. When my children are old enough we will definitely teach them about money and responsibility.

  9. This is a nice article! I agree that it’s important to teach children how to handle money properly so that they would learn how to deal with money problems in the future 🙂

  10. This is a very interesting topic, I loved how you create this content and the details you’ve done is awesome. Thanks for sharing this to us.

  11. Talking to a child about where does money comes and letting them learn something new is quite difficult task..Am glad as how you have shared so is very helpful..Thanks for sharing🙂

  12. These are really good tips. I also believe let your kids work for their money. Create a system that pays them for the work they do, and doesn’t pay them when they don’t work. Don’t just give them handouts, give them money when there is a reason for it, like work, chores, or something else they’ve done to earn it.

  13. I remember when my oldest daughter was around 5 and wanted to go out to eat. I told her I was out of money for that sort of thing at the moment. Her answer was to just go to the ATM and get some more. Haha. We had a discussion then about where money comes from. It was a good one to have.

  14. Children should be taught the value of money from a young age. They must learn about financial responsibility and what role money have in the society.

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