GUEST: How and when to talk to your kids about money



SEATTLE -- Piggy bank, an old mason jar or even a their own bank account.

Financial experts say it's never too early to start teaching kids how to manage finances.  "It teaches them how to set goals and set themselves up for secure future", says David Devine, senior vice-president of Columbia Bank.  "I think the most appropriate time is in grade school.  That's about the time kids are starting to learn about the value of money,"

Devine says teaching your children about money early should also fun.  "First and foremost, make it fun for the kids.  It makes it easier to learn that way and it's a good way to get them motivated."  Games are good or rewards for saving are great ways to get them interested.  "So are charts and graphs so they can see what they're working for, like a new bike."

Set a good example.  "Children are sponges and easily impressionable and one of the best things you can do if let your child see how you save money.  Practice finding deals with your kids," says Devine.  And, don't be afraid to let your child make mistakes.  "Sometimes the best lesson comes from a poor decision."

As your child grows, you can help them open up a savings account of their very own.   "Another step in helping them practice good habits and be financially responsible, says Devine.