Skip to content
Logo
View Cart Login Join for Free

Blog

←All Posts

Compound Interest: Teach Kids to Earn It, Not Pay It!

by Team Sammy

Talk to Kids About Compound Interest

Here are 5 reasons why parents, teachers and trainers should teach kids to earn compound interest and not pay it!

  1. Making a habit of earning compounding sets children on a path towards long-term financial security, stability, freedom and independence.

    It empowers kids to take control of their financial future from an early age.

    It actively builds a financial cushion that can enable you to pursue your dreams, whether it's purchasing a home, traveling the world, starting your own business, or retiring comfortably.

    Making a habit of paying compound interest gives away and surrenders the opportunity to use the same resources (money, time, and energy) to build financial security, stability, freedom and independence.

  2. Making a habit of earning compound interest teaches children to understand the value of money. It helps kids prioritize wealth building over debt accumulation. It has children taking maximum advantage of a powerful wealth building principle that is available to everyone.

    It builds a child's financial literacy, capability and competency. It encourages the development of good financial habits and practices.

    Making a habit of paying compound interest builds the wealth of others instead of our own.

  3. Making a habit of earning compound interest allows your money to grow exponentially over time, leading to significant wealth accumulation.

    By teaching the principles of earning compound interest to future generations, you're laying the foundation for long-term prosperity within your family. Rather than burdening them with debt, you're empowering them with the knowledge and tools to create wealth and pass it on, possibly for generations.

    Making a habit of paying compound puts a continual drain on one's finances that frequently adds stress and worries in one's life.

  4. Making a habit of earning compound interest results in one using less of their own time, energy, and capital to achieve their goals.

    Making a habit of paying compound interest results in the opposite effect, one must use more of their own time, energy, and capital to achieve their goals.

  5. Making a habit of earning compound interest has a variety of other benefits including, it:

    a) Instills the concept of delayed gratification and the benefits it brings.

    b) Aids in teaching goal-setting.

    c) Fosters critical thinking and planning skills.

Your Thoughts

We value your input!

Share some of your favorite quotes on compound interest with us. And please join Sammy Rabbit in making the world better for kids and families by initiating conversations with them about money. Whether you're starting or continuing, today is a Sammyriffic day to dive in and HOP the MONEY TALK AHEAD with kids! Let's get them financially literate!!!

More For You - Sammy Articles and Resources

How You Can Help Sammy Rabbit Advance Kids and Families Financial Literacy Levels