"I want that! Oooh...look at that one, can we have it too?"

We had taken our five year old, Aviv, to the toy store to replace a gift he had received for Hanukah. Before we went, we told him upfront that we were just replacing the toy and he'd already received his presents. But that didn't stop him from freely expressing his opinion.

"OK, for my birthday, I want a basketball with a hoop, a bank, a really big Beyblade and, Imma, can we buy this too?"

We don't know how it happened, but our youngest child became our biggest consumer. So we figured it was time to start teaching him more deeply about money. And what better time than during the holiday gift-giving season that pumped his own consumerism into a frenzy?

By the way, we should count our blessings living in this part of the world. That's because the average Israeli spends only around NIS 50 per child for gifts. While that can certainly add up (let's see, ten kids, that's NIS 500), it's nothing compared to our counterparts in North America where, according to a fascinating article I read recently in the Jerusalem Post, average spending on holiday gift giving is a whopping $750 per person. Yikes!

Back to Aviv. That night during dinner, we opened the discussion.

"Aviv, do you know where money comes from?" I asked.

"From the bank!" he replied with the absolute certainty that innocence brings.

"Yes, but where does the bank get it?"

Blank stare.

In my classes, I spend an entire session stalking about kids and money. And, you know, it is never too early to start the discussion. For example, even kids under the age of five can get a first experience with money by receiving a token allowance. A few ten agorot coins and a piggy bank are a great way to introduce the concept of savings or "keeping money." You can even tie the allowance to a few small chores so that later on the idea of a "salary" will not be foreign.

Here are several general tips which can help you guid the entire process:

Tip #1: Communicate your values - remember that your children are watching you. So whatever you do or express concerning money is going to be passed down.

Tip #2: Project a positive attitude - if you're going to be introducing some new cost-cutting measures in the house, don't just jump in. I like to start by talking about all the ways that we are rich - our family, the things we do have, etc.

Tip #3: Set a tone of confidence, openness and trust - don't be wishy-washy. You want them to know that moeny is not sometning to be afraid of and that it is something you feel you handle responsibly.

Tip #4: Make the talk an equal exchange - ask questions, encourage discussion rather than lecture.

Tip #5: Don't forget to laugh - if you get too serious, your kids will zone out or, even worse, begin to view money management as a dreary chore. You want it to be empowering...and fun!

Tip #6: Ask plenty of questions and listen carefully - the best way to learn is always in a question and answer format. Our question aobut "where do you think money comes from" is always a good icebreaker for the younger set.

Tip #7: Make sure your kids know they can always turn to you for financial advice - being open about the big issues - money, sex, fears - is the foundation for any good family relationship.

Tip #8: Establish a regular schedule for family discussions about finances - if you have a regular Family Meeting, build this in. You can include as topics ways to save more, how credit cards work and more.

Tip #9: With teenagers, discuss what's happening in the local and national economy - they hear about it in school and on the news - make it a part of your family discussion as well.

Tip #10: Involve your children in some of your family's typical financial matters - kids hate to be taken for granted. Get their "buy-in" when it comes to planning a family vacation or comparison shopping for the lowest prices. If your children are better in Hebrew than you, let them fird the prices on some of the very extensive Israeli websites for shopping.

This is just the "tip" of the iceberg. I encourage you to watch this space for more tips in the future. And if you haven't taken one of our classes yet, pick up the phone and call today. 054-788-8760.