25. Lay down rules (with explanations) for borrowing, lending and trading both within and outside the family.

.43

3.80

1.54

17. Encourage them to have a (big) long term savings goal.

.41

4.44

1.23

4. Encourage coin identification and change calculations at home and in shops.

.73

4.81

1.13

2. Play with real or fake money: count, stack, guess the cost/value of things.

.68

4.67

1.19

6. Make pocket-money related to behaviour (i.e. specific chores completed appropriately and on time-gardening, cleaning, tidying) with the aim of them eventually becoming responsible for their own jobs and job charts.

.54

4.53

1.28

12. Let them watch your money transactions i.e. how to receive, calculate, query change.

.52

4.17

1.31

3. Describe the difference between needs and wants (food vs. ice-cream; medicine vs. a CD player).

.52

5.01

1.09

8. Use coins to rehearse arithmetic problems.

.50

4.44

1.29

1. Provide children with tools to save money (e.g. transparent piggy banks).

.46

4.76

1.09

7. Explain why they cannot have certain items they ask for (e.g. it costs too much, the money ran out).

.32

5.23

.93

27. Establish rules/policies about breakages, money found on the street, mistaken over/under payments, shoplifting.

.71

4.59

1.34

14. Introduce the concept of “citizen of the household” and what responsibilities this entails (e.g. sharing, giving, honesty).

.70

4.31

1.57

13. Explain and set up a budget for childhood money (lunch, bus fare, school trips, breakages).

.54

4.05

1.37

40. Encourage smart consumerism: keeping receipts, knowing rights, understanding shop sales, knowing store return policies, reading the labels.

.47

4.31

1.27

5. Start pocket money as early as 3 - 4 years old.

.56

3.15

1.56

24. Explain tax (income and VAT) and tax your children’s pocket money (say 10%) to have a family tax where the whole family both contributes and decides how to spend it. Family meetings should be called to discuss this.

.43

2.87

1.54

Eigenvalue

14.26

2.96

2.36

1.53

1.45

Percentage of variance explained

33.15

6.88

5.48

3.55

3.38

Cumulative percentage

33.15

40.03

45.51

49.06

52.44