This kind of goes along with the education points made in Geographically Challenged Americans post. Parents must not only educate their children on the basics but also on things like savings. Many kids these days learn about credit cards before they know what a savings account is. There are many free and simple savings accounts available, so it should be one of the first things a parent should do. Open a savings account for their child. Teach them to save. Children will get excited about watching their savings grow. Now with the internet, I have accounts with ING. They even have special areas on the website for children to learn about savings. My kids all had savings accounts from very early on and they were always excited to get those savings bonds from grandmom every year on their birthday. Now my grandkids have accounts and their parents are teaching them the same way. By the way, if anyone is planning to open an account with ING, drop me a note and I'll send you a code to get an additional $25 for a minimum $250 initial deposit. I think I have a few left. Kids can have fun saving if you have a Motorized Coin Bank and some coin tubes. They will save up every penny they can find just to get the chance to use the coin sorter every once in a while and bring their rolls of coins to the bank! Consider something like that an investment in teaching your kids about saving. Electronic Coin Sorter