How to teach kids the value of coins

Ages: 4-7

Difficulty: Easy!

Why is it important: Around age 4, kids start learning that money can be used to exchange goods. They watch parents give money to buy products. This activity introduces them to concept of “names” and “values” of coins.

What to do:

Step 1: Think about what your kids like & enjoy the most!  This could be:

  • Candy
  • Fruits
  • Games
  • Story books
  • Coloring books
  • Toys
  • Puzzles etc.

Step 2: Now discuss with them how much each of these value in terms of coins. Starting with coins is important because

  • Coins are tangible
  • Coins are simple to understand
  • Coins are fun!

Here are some ideas to start the discussion:

For USA:

Coin NameCoin ValueHow it looksWhat its worth (ideas)
Penny1 ¢US One CentThree Grapes, Bed Time Stories Kindle eBooks, Wiggly the worm ebook, Glowing Microphone! , Stickers!, etc.

In all you can buy very few things with a penny. But if you combine 25 pennies - it makes a quarter.
Nickel5 ¢US_Nickel_2013_Rev1 gummy bear!, A few Lollipops etc.

15 Grapes, In all you can buy very few things with a nickel. But if you combine 5 nickels - it makes a quarter. If you collect 20 of them - it makes a dollar!
Dime10 ¢Dime_Obverse_1330 Grapes, Garden Ornaments
Quarter25 ¢COBREcentavosecuador2000-265 Grapes, 2 Strawberries Miniature Action Figures, Candies etc.
Dollar$1Onedolar2009seriesMobile apps and games. For example: Miss Fingy Add With Bubbles on Amazon Store

Step 3: Now tell them how the coins are inter-related to each other. For example in USA currency terms:

Coin NamesPennies (1 cents)Nickels (5 Cents)Dimes (10 Cents)Quarters (25 cents)Dollars ($1)
1 Penny1____
1 Nickel5 Pennies1 Nickel___
1 Dimes10 Pennies2 Nickels1 Dime__
1 Quarters25 Pennies5 Nickels2 Dimes & 1 Nickel
1 Dime & 3 Nickels
__
1 Dollars100 Pennies20 Nickels10 Dimes4 Quarters1 Dollar

What kids will learn: Understanding that different coins have values and they can be exchanged for certain items.

How do you teach your kids about coins and their values? Please let us know what you thought about this activity by posting comments!

*Please note, the links above are from Amazon and the prices are subject to change. Also note that these are only example of items that can be bought for a certain price and doesnt include shipping prices. 

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