February also happens to be Financial Aid Awareness Month, but if you have young children, paying for college may seem like a long way off. Many parents do start a college savings account when their children are young, or even before they are born. But paying college tuition is only one part of the equation. Sending your young adult into the world with a sound financial IQ can help them navigate life on campus – and beyond. It may also enable your child to help finance their education with you, which can not only empower them on the threshold to adulthood, but help you keep more of your money to put towards investments and retirement.

Here are some tips to help you establish sound financial habits with your kids.

1. Don’t make money a taboo topic. Integrate conversations about money into everyday dialogue. Don’t wait until you’re stressed about paying bills, or you’re upset that they keep asking for an expensive gaming console. You can easily start by discussing “wants” versus “needs” at a young age. As children get older, explain the difference between a credit card and a debit card, which can introduce them to the topic of interest and how it can derail household finances.
2. Introduce them to savings and wise spending. Even very young children tend to get money, whether from an allowance, birthday gifts, or just finding loose change. Encourage them to keep their money in a piggy bank, ideally a clear one so they can see it accumulate. As it fills, you can deposit it into a savings account set up for them. Talk to them about setting both savings and spending goals so they know it’s okay to save up and then purchase something they want, as long as it doesn’t compromise what they have pledged to save each month.
3. Let them earn their own money. Children can perform simple, valuable tasks. Some may require you to be present, such as watering a neighbor’s plants or feeding their pets, but allowing them to take on small jobs provides them with experience and confidence to perform it on their own later. The lemonade stand is a childhood staple, but some other possible options include:

• ~Yard sale with toys and clothes they’ve outgrown
• ~Bake sale
• ~Selling the harvest from home-grown herbs, fruits, and vegetables
• ~Walking dogs
• ~Reading to those who may not be able to see or leave their homes
• ~Raking leaves

As children get older, they’ll be ready to take on more responsibilities for others and be conscientious babysitters, tutors, lifeguards, or grocery baggers, just to name a few money-earning roles.

Remember that changing habits is hard, so the earlier you can help your children establish healthy money habits, the more likely it is that they will become lifelong practices.