- September 2025
- Premier America
Heading back to school isn’t just about new backpacks and supplies, it’s the perfect opportunity to help your child learn one of life’s most important financial lessons: how to tell the difference between wants and needs. Let’s break down some key takeaways and how your family can apply them this school year.
What Are Needs?
A need is something essential that you can’t go without. For kids, that might be food, shelter, clothing, and school supplies. Even brushing your teeth or taking a shower fit into this category.
Ask your child:
“What are some things you need that we provide every day?”
It’s a great way to open a conversation about household responsibilities and budgeting.
What Are Wants?
A want is something that’s nice to have, but not necessary. Maybe it’s a new pair of trendy sneakers, a video game, or a fancy water bottle. Our podcast, The Launch, shared everyday examples like wanting a cookie after lunch but needing milk to stay hydrated or delaying a purchase for something more important like car repairs or caring for a pet.
Understanding this difference early helps children make smarter spending choices and avoid impulse buys.
Family Challenge: Wants vs. Needs Grocery Game
Here’s a fun idea:
Before your next grocery trip, sit down as a family.
Make a shopping list and have your kids help label each item as a want or a need.
Then ask questions like: “How much could we save by skipping a few wants?”
Not only does this get your child involved in real budgeting, but it also builds decision making skills and might even trim a few dollars off the receipt.
Want to start your child on the path to smart saving?
Open a Youth Savings Account at your local Premier America branch! It only takes $1 to get started, and it helps kids see their money grow while learning lifelong money habits.
As you gear up for a new school year, consider making financial literacy part of your family’s back to school routine. Understanding the difference between wants and needs builds a foundation for stronger, smarter financial choices for both kids and parents.
Listen to The Launch podcast for more family focused financial lessons and easy ways to start conversations at home.
For more information, check out this webinar about Raising Money Smart Kids.
Let’s build brighter futures together!