Wananchi Opinion: Let’s raise money-smart children in this digital world

By Abol Kings

In today’s fast-changing financial environment, raising children without teaching them how to manage money is like sending them into a storm without a compass.

The rapid growth of digital finance, especially mobile money platforms, has changed how people handle transactions, savings, and planning.

Unlike in past generations where money was seen in coins and notes, children today grow up in a world where money often appears only as a figure on a phone screen.

For this reason, parents should make deliberate efforts to teach their children how to save, how to budget, and how to use mobile money from an early age.

These skills are not only vital for financial security but also for building discipline, responsibility, and independence.

The first important reason why children should be taught to save is that it builds financial discipline.

Saving is the foundation of wealth creation, yet many adults struggle with it because they were never guided on its value when they were young.

Children who are encouraged to set aside a portion of their allowance or gift money learn the importance of patience, delayed gratification, and goal setting.

Parents can make saving more interesting by providing piggy banks, opening junior savings accounts, or using child-friendly features available in mobile money platforms.

Every coin saved by a child is a seed that grows into a habit which shapes their future financial behavior.

Budgeting, on the other hand, equips children with the ability to plan and prioritise. Many people fall into debt or constant financial struggles because they do not know how to control their spending.

Parents can start teaching budgeting in very simple ways, such as helping children divide their pocket money into three parts: some for school snacks, some for savings, and some for leisure.

Over time, this practice develops critical thinking and decision making. It also helps children learn to separate needs from wants.

A child who understands budgeting is less likely to be swayed by impulse buying as they grow.

They also become more accountable because they see directly how their choices affect their money.

It is equally important to introduce children to mobile money. In many regions, especially in Africa, mobile money services have become the backbone of financial transactions.

In countries like Kenya, platforms such as M-Pesa have transformed how people pay bills, save money, and even access loans.

A child who does not understand how mobile money works risks being left behind in a world where cash is being replaced by digital transactions.

Parents can show their children how to check balances, send money, or pay for small services while closely supervising them.

This guidance builds awareness, confidence, and helps them avoid fraud or manipulation when they eventually start using the platforms alone.

When children learn to save, budget, and use mobile money, they also gain financial independence.

They become less dependent on parents and more capable of managing personal needs. For example, a teenager who saves part of their allowance through mobile money can pay for a school trip or buy items without seeking help every time.

This independence boosts confidence and self-esteem. It also eases the financial strain on families because children begin to take responsibility for some of their own expenses.

Beyond money itself, financial education prepares children for real life challenges. A young adult who understands budgeting is less likely to get trapped in unnecessary debt, overspending, or online scams.

These lessons can reduce future stress, improve decision making, and even protect their mental well-being.

By preparing children to handle financial responsibilities, parents are protecting them from common mistakes that ruin many lives.

Parents must understand that the duty of teaching children about money cannot be left to schools alone.

The home is the first classroom and what children learn there becomes the foundation of their habits.

When children grow up saving, budgeting, and using mobile money wisely, they are better equipped for the realities of a digital economy.

Saving builds discipline, budgeting teaches responsibility, and mobile money literacy creates adaptability in a world that is moving steadily away from cash.

These lessons prepare children to grow into financially wise adults who can make sound decisions for themselves and contribute positively to society.

Mr. Abol Kings is a Personal Finance Advisor