The vibrant red packets, or ang pow, given to children during festive seasons carry more than just monetary blessings; they symbolise goodwill, prosperity, and a chance to instill valuable lessons about financial literacy.
For kids, receiving ang pow often brings excitement and the temptation to spend it quickly on toys or treats. However, as parents, we can turn this tradition into a meaningful learning experience, teaching children the basics of saving, spending wisely, and even investing.

So here’s a guide for parents looking to incorporate money lessons for the little ones.
Money Lessons to Incorporate Into Your Child’s Learning
Ages: 3 to 5 – Understanding value of money
During the early years, children begin to grasp financial concepts. This is a good time to introduce them to the value of money and the idea that it is earned through work. For kids aged 3 to 5, simple and interactive activities can transform these red packets into valuable lessons about financial literacy.

Use the money from their ang pow to introduce your child to different coins and notes. Show them how to identify the value of each and group similar ones together. They can sort coins by denomination or create stacks of coins that add up to a certain amount. This hands-on activity helps children develop an understanding of value and basic counting skills
Engage in pretend play by setting up a mini-store and let your child pretend to be the customer or the shopkeeper. Use pretend money or real money from their ang pow to buy and sell items.
You can also introduce the concept of saving by giving them a piggy bank. Explain that every time they put some money in the piggy bank, they are getting closer to reaching their goal of either buying a candy or an ice-cream.
Ages: 6 to 10 – Start learning the concept of saving and spending
Your kids now understand how money works. You can build on this foundation by introducing practical money habits that grow with
Start by introducing budgeting basics. Help your child divide their ang pow money into three categories: saving, spending, and sharing. Saving teaches them to set aside money for future goals, spending lets them prioritise what they value most, and sharing instills the importance of giving back to others.

You can also involve your child in real-world decisions. Take them shopping and show them how to compare prices to make informed choices.
Ages: 11 to 15 – Understanding interest and cultivating wise spending habits
This is the perfect time to guide them on how to open their own bank account using their ang pow money. Introduce them to the banking system and let them go through the process of form filling to deposit money into their account.
When they receive their monthly bank statements, go through the deposit transactions with them, explain how interest works in a savings account. Show them how even small amounts of savings can grow over time.

Introduce them to budgeting tools that can track expenses and manage finances. For example, if they want to save for a big-ticket item like a gadget, encourage them to plan how much to save from their ang pow or monthly allowance. This builds discipline and helps them appreciate the effort it takes to achieve financial goals.
Age Group: 16+ – Learning how to manage and maximise value from money
Teenagers in this age group are on the brink of independence and will soon face real financial responsibilities such as managing their own budget or even taking a student loan for further education. Ang pow money can be a practical starting point for understanding more complex financial concepts

Start by showing them the power of compounding using their ang pow savings and investing. If they already have a savings account, demonstrate how their money grows over time with interest.
To make it more engaging, introduce them to the basics of investing. Use their ang pow as an example of how savings could be invested in stocks or other assets. Encourage them to practice investing using a small amount of money under your guidance. For instance, Syfe Core Portfolios have no minimum investment requirement, making them a great place to gain hands-on experience with investing, manage emotions, and build confidence in the process.
Discuss the importance of responsible credit card use. Explain how credit cards work, emphasising the importance of paying bills on time to avoid interest charges and maintain a good credit score. Use their ang pow money to illustrate the consequences of spending beyond their means and the value of saving before purchasing.Encourage your teenager to seek part-time jobs or explore entrepreneurial opportunities. This experience will teach them about earning money and the value of hard work.

It’s not just about teaching them discipline, but also setting an example for your kids
Now that you have an idea of how to teach your child about money at various stages of their life, you can set an example by taking their financial journey to the next level with Syfe for Kids.
Syfe now allows you to tag portfolios to your child, invest and watch their money grow overtime. You can collaboratively set financial goals with your child, teaching them the importance of planning for the future. This enables you to not only set their finances up for success, but also allows your child to experience the power of compounding interest and investing first hand.
Ready to begin? Here’s how it works:
- Create the Target Managed Portfolio
- Click on Managed Portfolio in the app or platform.
- Press Add Portfolio in the top right-hand corner.
- Select the Portfolio
- Choose the portfolio you’d like to create.
- Fund the portfolio by depositing the desired amount.
- Tag the Portfolio to Your Child
- Press the three dots beside the portfolio name.
- Select Tag Portfolio to Child.
- Add your child’s photo and input their name.

By incorporating money lessons and starting them on a saving, investment portfolio, you not only provide your child with a solid foundation for financial success but also ignite their curiosity about investment strategies and the potential for long-term wealth growth.
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