Hello,

Welcome back to another edition of Mini Millionaires.

We’ve loved hearing from you. Keep those replies and DMs coming with what’s been working for you, what you’d like to know about, or even just an awesome money win your mini millionaire has had.

This week, we’re talking digital money.

Long gone are the days of notes and coins. In fact, fewer and fewer of the people we talk to walk around with cash anymore. And while it’s definitely convenient, it makes it tricky to keep your finger on the pulse of your finances (even for the most wizardly of techies amongst us).

So it’s a great time to start the digital money convo with your mini millionaires. 

Let’s go.

South Africa, like elsewhere in the world, is moving away from cash, with most major banks decreasing their ATM footprint nationwide. So digital money and payments are becoming the norm across more and more households.

When we talk about digital money, we’re not just talking about using your debit card to tap and go or your phone to pay with Apple/Samsung Pay. Digital money also includes airtime top-ups, subscription renewals, ride-hailing apps, in-game purchases, EFTs, SnapScan payments, and auto-debits. Essentially, any money that moves between people and businesses, not using coins or notes.

For kids (and even adults), that’s confusing. Without coins and notes, money can feel imaginary. 

And when something feels imaginary, it’s hard to manage it well. That’s why your mini millionaire needs help connecting what they see (a screen or a swipe) with what’s really happening (money leaving an account). 

Here’s a mindset to cultivate, a habit to form and a tip to try in teaching kids about digital money.

Just because money is invisible doesn’t mean it’s free

In a recent US study, 72% of parents felt that their kids do not understand the value of a dollar, and that for 44% of them, it’s harder to teach them the value of money when it comes to digital money as opposed to cash.

And it’s understandable.

You go to a store, whip out a card, tap on the machine, and off you go with your items. There was no visible exchange of money. No cash changing hands. No visual cue of: I had so much money, now I have less. 

And that’s a dangerous way of viewing money.

Takeaway: If kids think digital money is magic, they’ll spend it like it is.

Narrate digital money moments out loud

When you next pay for something with your card or phone payment in store, say, “That just paid for the groceries from our account.” 

Or when a subscription renews, say “Spotify just deducted R60 today.” This kind of narration makes the invisible visible and reiterates that these digital payments are, in fact, being deducted from your account.

It also serves as a roadmarker in the broader budget conversation (your mini millionaire does know about a budget, right?). When a digital payment comes off your account, update your budget.

Takeaway: Say what you’re doing. Kids can’t copy what they can’t hear.

Set up a safe digital money experience

Give your mini millionaire a small, fixed amount in a controlled digital format (like a prepaid card, bank youth account, or app wallet) and let kids practise basic spending and track balances, all under your supervision. 

Seeing R50 go down to R0 over a week hits differently when it’s their digital money. It builds consequence, choice, and control: three things every mini millionaire (and future spender) needs.

For younger kids, though, while it might be inconvenient, using cash (especially if it’s their first foray into all things money) is a really powerful way to help them grasp basic financial concepts, especially if tied in with our 4 Jars System, where they can see actual money being moved into different jars for different purposes. Not to mention that Spend jar getting empty when they spend all of their cash on an impulse purchase.

Takeaway: Digital confidence comes from digital experience.

Help your Mini Millionaire figure out where all their money goes with the Money Detective. This handy resource teaches kids how digital spending works. From tap-to-pay and app purchases to subscriptions and online orders. 

Kids learn to sort common expenses into clear categories, then level up by analysing their own pretend bank statement. 

Money Detective turns kids into spending sleuths, tracking every swipe, tap, and sneaky subscription.

FinMaster is our board game that teaches kids (and families) financial skills like investing, budgeting, and market decisions through interactive gameplay. It turns money lessons into a fun strategy challenge that sparks real conversations about how money really works.

We’ve been slinging copies of FinMaster left and right via Takealot throughout the festive season. Martha loved it. We love Martha. 

Last week, we wanted to know how you’re explaining taxes to your mini millionaires? Turns out, it’s just how it works can also be an answer. Hopefully, last week’s edition helped the conversation.

🟩🟩🟩🟩🟩 🤷‍♂️ “It’s just how it works” (and change the subject)

⬜️⬜️⬜️⬜️⬜️ 😮‍💨 Point to payslip and sigh

⬜️⬜️⬜️⬜️⬜️ 🧾 By blaming the till slip at the shop

⬜️⬜️⬜️⬜️⬜️ ⏳ Saying “we’ll talk about it when you’re older”

🟨🟨⬜️⬜️⬜️ 🙈 You don’t. You hope school handles it

What you said: 

“My kids are WELL-versed on the principle of "Dad Tax"... So much so, they've started collecting their own tax from my treats. This has not worked out as I had hoped.”

JM

Oh no. You know, you try to do a good thing, hey… 🤦😂

What’s been your mini millionaire’s favourite lesson they’ve learnt from our newsletter so far?

Or is there something you’re navigating on their money smart journey right now you’d like us to talk about in an upcoming feature?

Hit reply and tell us. We’d love to know.

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