Few of us would argue with the notion that it's important to teach our children about money. We at the Fool think it's so critical that we wrote a book about investing and money management just for teenagers (check out The Motley Fool Investment Guide for Teens, which has garnered some decent reviews at Amazon.com). We've got a nook here in Fooldom for teens, too (invite any teens you care about to drop in) -- and we're running a contest for teens, as well, in which they can win $1,000 (the deadline looms, though!).
If you think you just don't have the time or energy to teach your kids about money, though, consider moving to Birmingham, Mich., where the Beverly Elementary School has a marvelously innovative program in place to teach young ones about money. The folks there have basically created an economic system where the kids earn income (real money!) when they take tests, do homework, do classwork, and more. High-quality work earns bonus money. The currency involved: Beverly Bucks.
As Peggy Walsh-Sarnecki explained in the Detroit Free Press, "At the end of the week, they can take a paycheck [usually in the neighborhood of $30 to $80] home for endorsement. Then the student can cash the check for Beverly Bucks and shop in the class store" -- where they can buy pens, toys, pencil holders, and more. For many items, they have to save up over several weeks. [If only Beverly Bucks could buy shares of General Electric
The program has earned high marks for teaching both economics and math concepts and for the incentive it gives students, too, to perform well. A teacher noted, "Their work has really improved... We've really just likened it to the real world." It gets more real, too. In the new year, taxes will be introduced (for use of hallways and playgrounds), as will the possibility of losing money if you misbehave (perhaps by hitting a classmate).
The idea of paying students to perform isn't new. At MarginalRevolution.com, for example, blogging economist Alex Tabarrok reported on some troubled New York City schools doing so. (Learn more about blogging and get leads to interesting blogs on our Blogging discussion board -- try all our boards for free for 30 days!)
Learn more about how money and young people in these Fool articles:
- What You Didn't Learn in School
- Growing Up Gardner, an interview with the Fool co-founders
- Put Your Teen to Work
- Should You Drive Your Teen Into Debit?
- Investment Clubs for Teens
- The Terrible Teens
- Teach Your Kids About Money
- How Millionaires Are Born
Longtime Fool contributor Selena Maranjian does not own shares of any companies mentioned in this article.
