Financial wellness isn’t just for adults. It’s a lifelong journey that begins in childhood and matures through young adulthood. Whether you’re teaching your child the value of a dollar or preparing your college student to manage a budget, instilling smart money habits early can lead to lasting financial security.
At Mutual of Omaha Mortgage, we believe in supporting families at every stage of life. That includes helping the next generation gain the confidence and tools they need to make informed financial decisions from saving money to understanding student loans and credit scores.
Why Financial Literacy Matters for Kids and Young Adults
According to the National Financial Educators Council, the average high school student scored just 64% on basic personal finance tests. Yet, financial literacy is one of the most important skills young people need as they enter adulthood. Starting financial education early can:
- Promote responsible spending and saving habits
- Prevent future debt and poor credit decisions
- Encourage long-term planning and investment
- Reduce financial anxiety and improve decision-making
Just like reading or math, money skills are built over time and the earlier you start, the stronger the foundation.
Age-Appropriate Financial Lessons for Elementary-Age Kids
Even young children can grasp basic money concepts. Start with:
- Understanding wants vs. needs
- Saving for small goals, like a toy or book
- Using a clear jar or piggy bank to visually track savings
- Earning money through chores to build the connection between work and income
Encourage a simple “Spend, Save, Share” system using three separate jars or envelopes. This introduces the basics of budgeting while making it fun and visual.
Money Lessons For Middle Schoolers
Pre-teens are ready to handle more advanced concepts:
- Creating a basic budget for allowance or birthday money
- Opening a savings account with parental guidance
- Learning about digital money, such as gift cards, online spending, and mobile apps
Now’s also a great time to talk about delayed gratification, like saving for a concert ticket or sports gear instead of spending impulsively.
Smart Spending and Saving Skills for High School Students
Teenagers are on the brink of financial independence. This is the time to:
- Track spending habits and understand income vs. expenses
- Practice comparison shopping and understanding sales tax
- Explore compound interest through savings accounts or simple investments
- Learn about credit cards, interest rates, and the importance of a strong credit score
Help them set up their first checking account and consider a secured credit card or student card to begin building responsible credit use.
Mastering Money Decision-Making in College
College comes with real financial responsibilities, many of which are tied to their long-term financial health. Key areas to cover include:
- Managing a monthly budget that includes tuition, rent, groceries, and discretionary spending
- Understanding student loans, repayment terms, and interest accrual
- Monitoring credit through free credit score tools
- Avoiding unnecessary debt, like high-interest credit cards or “buy now, pay later” traps
Encourage your student to get familiar with online banking, automatic bill pay, and financial goal setting. These habits will serve them well as they transition into the workforce.
Mortgage and Housing Education for Young Adults and Older Students
If your college-aged child is considering renting an apartment or even buying a home post-graduation, now is the perfect time to begin educating them on housing-related financial decisions.
Topics to cover:
- The basics of a mortgage: principal, interest, escrow, and insurance
- How credit and income affect mortgage eligibility
- Why saving for a down payment matters
- Understanding rent vs. own decisions
At Mutual of Omaha Mortgage, our team works with first-time homebuyers, including young professionals, so they can enter the housing market with confidence.
How Parents Can Support Financial Wellness
Financial wellness is a family effort. You can support your child or student by:
- Talk openly about money. Make it a regular topic, not a taboo one.
- Share your own experiences. Whether wins or mistakes, your stories can make money management more relatable.
- Model smart financial behavior. Kids learn by example. Budgeting, saving, and paying bills on time sends a powerful message.
- Encourage questions. No question is too small. The more they ask, the more they’ll understand.
Investing in Their Future Starts Now
Just as a home is a long-term investment in your future, teaching financial wellness is an investment in your child’s success. From saving early to building credit and managing debt, the skills your child or student develops today can shape their financial independence for decades to come.
Looking ahead to your child’s future homeownership? Contact Mutual of Omaha Mortgage to learn how you can help them build credit and financial strength toward that goal. We’re here to support your family’s journey, every step of the way.
