- Definition
Financial decision-making is simply choosing how to best use your money, like deciding whether to save it, spend it, or give it away.
Deciding whether to buy a video game now or save that money for a new bike involves financial decision making.
How to teach this in 30 seconds
Try this analogy: Financial decision making is like choosing your next move in a board game, where you think about what will help you win later, not just right now.
Ask your child: If you had $20, what would you think about before spending it?
Common mix-up: Kids might think this is just about saving money. It’s actually about weighing all options—spending, saving, or even donating—to make a smart choice for your goals.
Examples
- Choosing to put birthday money into a savings account instead of spending it right away.
- Comparing the cost and features of two different pairs of sneakers before buying one.
financial decision making is a term used in Ontario’s Kindergarten to Grade 8 curriculum.
Where this shows up
The descriptions on this page are SmartStudy’s own original, plain-language writing — not the Ministry’s wording. They are aligned to the Ontario Curriculum, © King’s Printer for Ontario. For the Ministry’s official wording, see the source link below. SmartStudy is an independent service and is not affiliated with, endorsed by, or sponsored by the Government of Ontario or the Ministry of Education. Ontario Curriculum and Resources ↗
