5 Common Money Mistakes Kids Make
Every kid makes money mistakes. The question is: will they learn from them? Here's how to turn errors into lessons.
Mistake #1: Impulse Buying
The Problem: "I want it NOW!" They see it, they want it, they buy it—without thinking.
The Fix: The 24-Hour Rule. If they want something, they must wait 24 hours before buying. Most impulse urges fade overnight.
Mistake #2: Not Tracking Spending
The Problem: "Where did all my money go?" They have no idea what they spent it on.
The Fix: Use PocketJr's transaction history. Every purchase is logged. Review it together weekly: "You spent $12 on candy this week. Was it worth it?"
Mistake #3: Spending Before Saving
The Problem: They spend their entire allowance immediately, leaving nothing for goals.
The Fix: "Pay Yourself First." The moment they get money, 20% goes straight to savings (locked away). They can only spend what's left.
Mistake #4: Buying Low-Quality Items
The Problem: They buy the cheapest toy, which breaks in a week. Then they buy another cheap one. Repeat.
The Fix: Teach "Cost Per Use." A $5 toy that breaks in 1 week = $5/week. A $20 toy that lasts 10 weeks = $2/week. Quality wins.
Mistake #5: Not Asking for Help
The Problem: They make a bad purchase and feel too embarrassed to admit it.
The Fix: Create a "No Judgment Zone." Tell them: "Everyone makes money mistakes—even adults. Let's figure out what we learned."
The Silver Lining
Mistakes Are Tuition
It's better for your child to waste $10 on a bad toy at age 8 than to waste $10,000 on a bad car at age 18. Small mistakes now = big wisdom later.
The goal isn't perfection. It's progress.
Track & Learn from Every Purchase
PocketJr shows kids exactly where their money goes—so they can make smarter choices next time.
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