Parenting Tip 4: Why I Teach 3 Year Olds About Money (And How It Leads to Financial Freedom)

The real reason I teach 3 year olds about money (and why you should too).

When I tell people I teach toddlers and preschoolers about money, I usually get a funny look. They are three, people say. Let them be kids. Why are you rushing it?

I get it. As moms, we are already juggling so much. The idea of adding financial literacy to the mix when you are just trying to get them to eat a vegetable feels exhausting.

But here is the thing. I am not teaching them about money so they can become little Wall Street bankers. I am teaching them about money because of my son, Adam.

Adam is 18 now. He is a freshman at UC Berkeley. And while most of his friends are stressing about picking a major that will pay the bills, Adam is doing something completely different. He is choosing what he wants to do to give back to the world.

He does not have to worry about picking a career just to make money. Why? Because Adam is on track to retire at 45.

He is not a genius. We are not billionaires. He is on track for financial freedom for one simple reason: he started early.

The Secret to Financial Freedom Is Not Working Harder

Growing up, money was a mystery in my house. We never talked about it. I had to figure it all out on my own as an adult, and let me tell you, I learned the hard way. I made so many mistakes because I simply did not know any better.

When I had Adam, I promised myself I would not let him go through that. I wanted him to have the freedom to explore his interests, to take risks, and to not be trapped in a job he hated just to survive.

So, we started early. Really early.

At age 3, Adam learned the basics: Save, Spend, and Share. We used clear jars. We talked about what money could do. And eventually, as he got a little older, we introduced the most important concept of all: Investing.

Here is the truth that changed everything for us: The secret to wealth is not working harder. It is starting earlier.

Time is the most powerful tool your child has. When you teach a child to invest, even with tiny amounts of money, time does the heavy lifting. That is why starting at age 3 matters so much.

Why We Start With Save, Spend, and Share

You cannot teach a 3-year-old about compound interest. But you can teach them that money has different jobs.

Before Adam could invest, he had to understand that money was not just for buying toys right now. That is where the three jars come in.

When kids learn to divide their money into Save, Spend, and Share, they are building the exact same muscles they need to invest later. They are learning patience. They are learning delayed gratification. They are learning that if they put money away today, it can do something bigger tomorrow.

This is why I wrote Luna's Three Money Jars. I wanted a simple, joyful way for parents to introduce these massive concepts without it feeling like a lecture. When your child watches Luna save up for her scooter, they are not just reading a story. They are learning the foundation of financial independence.

The Ultimate Goal: Freedom of Choice

When I look at Adam now, I do not just see a kid who knows how to manage a portfolio. I see a kid who is free.

He has the freedom to take a lower-paying job if it is something he is passionate about. He has the freedom to start a business and fail, without it ruining his life. He has the freedom to give back.

That is what this is really about. Teaching kids about money is not about making them rich. It is about giving them choices.

If you want to set your child up so you do not have to worry about them and they do not go through the same financial struggles you did, the best time to start is right now.

How to Take the First Step Today

You do not need to be a financial expert to do this. You just need to start the conversation.

Step 1: Get the Jars. Grab three clear jars and label them Save, Spend, and Share. Let your child decorate them.

Step 2: Read a Story. Books are the easiest way to introduce big ideas to little minds. Grab a copy of Luna's Three Money Jars or Ethan Earns His Rocket Ship and read it together before bed.

Step 3: Talk About the Why. When your child puts money in their savings jar, ask them what they are dreaming of. Help them connect the action of saving to the feeling of reaching a goal.

You can do this. You do not have to have it all figured out perfectly. You just have to start.

Because one day you will look at your 18-year-old and realize that those little clear jars gave them the world.