Pocket money makes the digital switch from cash to card

How do you teach children the value of money in an increasingly complex, cashless society?

Credit and prepaid cards, wearable payment devices, tap and go technology, online shopping and internet banking have gradually removed the visibility of notes and coins.

Money has gone digital and it’s time to keep up

The traditional pocket money clinking into a piggy bank is now a quaint tradition of the past as society says goodbye to cash and children are introduced to online pocket money.

Now there’s a new leading-edge digital pocket money tool that helps parents bridge the gap between the money box and the tap and go world of digital payments.

ZAAP the pocket money pay day

Introducing ZAAP, the only digital pocket money concept available for children in Australia that has the choice of a Tap & Go prepaid Mastercard, a wearable band payment device with the option of getting both linked to one pocket money account. It’s digital pocket money made easier, safer and more convenient than cash, with parents always in control.

ZAAP is not only a pocket money tool, it’s a learning tool that plants the seeds of financial management as the children move into the teenage years, paid work and ongoing education.

A safe way to learn the value of money

Educators say children learn best with a combination of visual and numeric activities. They have traditionally learned the value of money in a way they can relate to, associating real money with basic maths.

Research shows that by the age of seven most children have grasped how to recognise the value of money and understand that money can be exchanged for goods and what it means to earn money.

Now parents need to employ cutting edge techniques to introduce children to the concept and value of money that appears as numbers on a screen. And to tell real money apart from so many other online currencies they are exposed to through gaming and online educational tools. It’s an important skill to acquire as teaching children about money from an early age forms the basis of financial literacy.

Financial literacy is an essential skill

There’s no doubt financial literacy is an essential life skill in today's world. Knowing how to manage money has a long-term impact on quality of life, opportunities and financial independence for individuals and families.

MoneySmart encourages learning about money

ASIC’s government endorsed MoneySmart program advocates that financial literacy of individuals has an effect on the overall economic health of Australian society.^

It promotes three key messages aimed at building the financial capabilities of students and teachers:

1. Financial literacy is an essential life skill that enables young people to make informed decisions.
2. The financial health and wellbeing of young people is important for them to manage their money day to day, plan for the future and make informed choices.
3. You are never too young to be MoneySmart. Parents and carers play an important role in shaping a child's early experiences of money.

How can families encourage financial literacy in the digital economy?

While it sounds like an advanced course in economics, financial literacy is a necessary universal skill and it can start with children as young as kindergarten age with the traditional concept of pocket money.

Preparing children for the financial challenges of the real world and how to manage their money is an ongoing learning experience with parents being key educators. Schools may include money management in the curriculum, but it is the family where they will learn most about earning, saving and spending.

Understanding the concepts of money management with ZAAP

Pocket money can be a great way to help children understand the concepts of basic economics. At its most basic, it requires the math skills of addition, subtraction and multiplication.

The new ZAAP digital devices for pocket money make learning about money easy for children and give peace of mind to parents.

Safer than cash, ZAAP is designed to teach your child money management skills that will set them up for the digital world of money management and financial responsibility.

Check out all the benefits of ZAAP at zaap.com.au. It’s easy to order and download the ZAAP app to get started with the new way to teach money management - with kids finding ways to save and spend while parents are in control.

Reference:

^Teaching kids about money. Find out more at https://www.moneysmart.gov.au/life-events-and-you/families/teaching-kids-about-money