Teach Your Child Delayed Gratification

It will pay off later

Updated April 27, 2023

Patience is an Important Part of Good Money Habits

Kids these days...they aren’t used to waiting.  Patience, as a virtue, is barely practiced as devices distract, Amazon same-day delivers and Disney+ offers a telescopic library of animated history (commercial free!) at the tip of little fingertips.   

But patience, it turns out, is hugely important in financial literacy and good money habits.  Specifically, children’s ability to delay gratification is highly predictive of future success.  And why? Kids who learn how to forgo an immediate reward for the possibility of a more valuable reward in the future are practicing a skill that has life-long benefits.  

Teaching kids that a little bit of sacrifice can pay off big is essential for today’s parents trying to instill good money habits in their children.  The famous “Marshmallow Test,” demonstrated how kids who can delay gratification ultimately had better coping skills, higher SAT scores, lower BMI and lower divorce rates.  

If the evidence is clear, how do we begin to teach our kids to delay gratification?

4 Tips to Teach Delayed Gratification

• We praise self-control in our household. “I’m so proud that you decided not to use your spending dollars on the candy bar - I think you’ll be grateful you saved them when there is something you really want.”

• We model patience for our kids. (We know, easier said than done!). “I’d really love these new shoes, but I’m going to hold off since Dad and I are saving our dollars for a new washing machine.”

• We teach kids how to use positive distractions to overcome impulsive actions. When your little is begging for a second treat...“Let’s start a puzzle together and we can have another cookie after dinner.” 

• With your child, practice making a long-term plan and executing it. “I know you really want a new scooter. Let’s decide how much money you should add to your “saving” dollars each week and we can make a plan to buy it.”

A Powerful Teaching Tool: Allowance

We’ve said it before, and we’ll say it again.  Allowance is a powerful tool in teaching kids good money habits by delaying gratification. 

In the end, there’s a dash of Veruca Salt in all of our kids, but it’s our job to bring out the Charlie Bucket. 

By praising patience, modeling self-control and giving kids the skills to delay gratification, they will learn to forgo a small piece of chocolate in pursuit of the golden ticket. 

After all, it’s never too early to show how good things come to those who wait.