- 81% of parents say their children have learned positive habits from gaming
- Parents say the three top habits their children have learned are saving habits (50%), budgeting (46%), and responsibilities for home ownership (27%).
- Financial education charity MyBnk shares ideas for parents to help foster better financial habits in their children.
- Starting financial education early, from age 7, with simple activities like budgeting and goal setting, can help children develop positive money habits for life.
With 90% of children in the UK playing video games and spending an average of £38 per month on in-game purchases, parents are increasingly facing the challenge of how to teach responsible spending. However, new research from Lowell revealed that 81% of parents believe their children are learning positive money habits from games such as Animal Crossing and The Sims—which feature in-game economies, currencies, and savings opportunities.
To better understand the potential of life-simulation games in shaping positive financial habits, Lowell,has partnered with financial education charity MyBnk to survey parents around the role of gaming on financial literacy. The results suggest that while most parents (89%) actively monitor their children’s in-game spending, many had their children asking questions about saving and budgeting after playing these games. Could gaming become a valuable tool in teaching children the value of money?
The Top Financial Habits Learnt from Gaming
Parents believe their children have learned real-life financial habits from video games that could be applied to real life situations. These are the top answers that parents believe have benefited their children most.
| Financial Habits | Percentage |
| Saving habits | 50% |
| Budgeting | 46% |
| Responsibilities of home ownership | 27% |
| Managing credit | 25% |
| Taking out loans | 16% |
How to use gaming to foster positive financial habits
MyBnk believes financial education should start as early as possible. According to a study by the University of Cambridge, by the age of 7, many children have already started forming their money habits. Parents can use simple, everyday activities to reinforce positive behaviours, which the charity have shared below.
1. Use pocket money to help control spending
Parents can help children to understand the real-world value of their in-game spending by getting their children to include gaming spending in their budget and encouraging their children to make choices with their own money.
2. Games that encourage positive habits
There are digital games that can teach positive habits that don’t even need to be money-orientated in topic. Skills such as delayed gratification (that occurs when waiting for a new level or skin to unlock, for example) and even basic habit formation (such as logging in everyday to complete a challenge) are all positive financial skills and habits that can form through gameplay. In terms of specific examples, games like The Sims and Animal Crossing both can teach about the importance of budgeting , the responsibility of home ownership, including bill and tax payments and the potential consequences of not paying these!
3. Introduce spend caps
Involve children in family budgeting, like planning the weekly food shop, to introduce the concept of managing money. Discuss the differences between physical money and digital payments to ensure children understand that “tapping” a card is still spending.
4. Goal setting
Teach kids to save for specific goals, like a toy, to understand delayed gratification and the importance of planning.
5. 24-hour rule
Parents can encourage children to wait 24 hours before making an in-game purchase. This gives them reflection on whether they truly want or need the item, reducing impulse buying.
“We believe the language of money is a language for life ,” says MyBnk. “Starting early with practical lessons in everyday life is key to raising financially confident and responsible young people.”
“But also” MyBnk adds “With greater financial independence for children and young people comes a greater risk of them engaging in such activity with less parent/guardian knowledge. Government-backed or -mandated financial education for young people, including content around gambling, could be an essential tool in awareness raising of such activity.”
“Parental controls for purchasing in video games could also be tighter, allowing parents/guardians to more closely monitor the activity of their children’s online spends and activity in-game. This is harder to mandate and difficult to control, but the guidance to parents on keeping their children safe online, including looking at online gambling regulation, could be improved.”
John Pears, UK CEO of Lowell adds, “Talking about money and debt within the family is essential. It removes the stigma around these topics and ensures that children grow up with a healthy understanding of financial responsibility, helping people make less risky and more informed financial decisions. This partnership with MyBnk highlights how we can turn everyday moments, even gaming, into valuable financial lessons.”
If you’re feeling financial pressure, we encourage you to seek support. A list of organisations that can help is available at https://www.lowell.co.uk/help-and-support/independent-support/.”
For additional insight on teaching children about money, please visit: https://www.lowell.co.uk/about-us/lowells-blog/financial-health/the-financial-tips-we-wish-wed-learnt-as-a-child/
