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In our culture, where the latest toys, electronics, candy and clothes are readily displayed to entice young ones, it can be an uphill battle for parents to instill the value of money and raise a smart spender.

According to Dave Hudak, a child and family therapist at Blue Ridge Behavioral Health in Frederick, teaching the value of money can begin at a very young age. He suggests introducing the concept of money to children as young as toddlers by using a piggy bank and demonstrating how different coins can "disappear." Then when the child learns to count, Hudak says "shopping" with play money is a good role-playing activity.

By preschool age, children can start to save money they receive in their banks and use some of it to help pay for special items they want. He says this practice should continue through elementary school, with the child graduating from a piggy bank to a bank account.

"The amount of their contributions is not as important as the concept of ‘helping to pay for'," Hudak says. "If parents begin at an early age and consistently follow some of the above guidelines, smart spending will develop with your child."

Anne Treadwell Landon of Frederick says she began early on to introduce her three children to the idea that things cost money by teaching about the environment.

"I taught the kids about turning off the lights, reducing the amount of water we use, [and] adding balls to the dryer to help speed up the drying time," she said. "Simple stuff that they can picture in their minds as money-saving efforts."

Despite her efforts, she says it was still difficult for her kids to learn just how expensive things can be.

"My 8-year-old wanted to buy a go-kart kit. His grandmother gave him a check to help pay for the kit, but after researching go-kart kits, he realized he only had enough money to buy one tire!" Landon said.

Hudak says for elementary school-age children, saving money is a difficult concept, and that is why the "value of saving should be an on-going discussion throughout the child's life cycle." He also suggests having children at this age work to earn money.

"If we make them work for things, help them to earn money, and require that they use some — and in some cases all — of their savings in order to purchase things they want, then our children will appreciate the value of saving and learn to work for things they want," he says.

"One of the most important tenets to uphold in our households is to limit unconditional buying for our children and have them work for things that aren't necessities — toys, video games, etc."

In the Landon household, the parents pay the children for helping with tasks around the house and yard, and the kids save the money in treasure chests. They also do other things to reinforce the value of money. "I ask the kids to help me compare prices when I'm shopping."

"I'll ask them to tell me which is the least expensive and then we'll buy that one," she says.

She also gives her children the choice of buying a video game now or saving up for a family trip or adventure.

And when the family has a big purchase to make, Landon and her husband show the kids how they will research the best deal and plan for that purchase.

"We show them that we often have to wait to buy the item until we have saved up enough money to do so," she says

But one lesson that has proven the most effective for Landon's 8-year-old son was learning about "wants versus needs" in his first-grade class last year at Yellow Springs Elementary School.

"It really sunk in and he quotes it all the time. He seems to know just when to say it!" Landon smiles.

According to James Gray, elementary social studies specialist for Frederick County Public Schools, it is important to teach children ages 6 to 11 years about money and economics in school.

"Students need to understand how their choices as consumers, savers and future investors interact to determine economic trends and future policy," Gray says.

"These are sophisticated concepts that require understanding of general information which is introduced in the elementary school."

Elementary students progress from learning about markets and stores in their communities, to making a budget, to studying about goods and services.

"But in every grade," Gray says, "students are making choices about resources they have and spending those resources."

In conclusion, Hudak stresses that modeling good behavior when it comes to money and spending is essential.

"It is not possible to be a smart spender without parents imparting values that include thrift, frugality, not wasting, and fixing or recycling broken things," he says.

\Tips for parents

Start young! Children can "pretend shop" with play money; encourage them to save real money in their own piggy banks.

Children can complete age-appropriate chores to earn money to make their own purchases.

Research ways to teach about the value of money and spending wisely.

The National Council on Economic Education: http://www.ncee.net/

The Family Education Network: http://life.family education.com/

Learn to Save http://learntosave.com/