When their piggy bank has long since been smashed open, and they're more into real cars than toy cars, it's probably time to up the ante on money education with your kids.

It might be that you want them to follow in your financially savvy footsteps, but for lots of us, it's about setting them up to be smarter with money than we are.

Arming your child with basic financial information about budgeting, spending and saving can help them avoid poor choices later in life, explains ASIC MoneySmart senior executive leader Laura Higgins.

"Running up too much debt on a credit card or not insuring their car properly can have a huge impact on a young person," she says.

Debt is a huge problem. A third of young Australian households are considered "over-indebted", which means what they owe is three or more times their income, or 75 per cent or more of the value of their assets.

Here's how to move beyond the piggy bank or jars of cash and help take your teen's financial understanding to the next level.

Want to educate your teen about money? Tell us what you'd like help with, email life@abc.net.au.

Introduce them to some key money concepts

Whatever your child likes to spend their money on, showing them how to keep track of their spending and to set money goals will help set them up for financial success. ( Alex Haney: Unsplash )

Finance is a very broad topic, so there are a few things you can narrow in on when talking to your child.

These points are a good place to start, explains Ms Higgins:

How using their own money is better than using credit

How using their own money is better than using credit The importance of having savings for goals and in case of an emergency

The importance of having savings for goals and in case of an emergency Checking that they're getting paid what they're supposed to (if they have a part-time job)

Checking that they're getting paid what they're supposed to (if they have a part-time job) Tracking mobile phone and app spending

Tracking mobile phone and app spending The essential skill of budgeting so they can spend money on the things they really need instead of spending it on incidentals.

"Showing them the basics such as how to budget, spend and save will establish good money habits for life," she says.

If you feel unsure about these things yourself, you can always learn them together.

Making a family tradition of discussing money over a meal or at a set time each week can help you be consistent with educating children about finances. ( Dan Gold: Unsplash )

Setting up a regular weekly time to chat money with your child can help you be consistent which, according to finance author Scott Pape, is key to making this stuff stick.

He recommends having a weekly family meal where you talk about money specifics, set up and track financial goals, and then pay any allowances at the end of the meal.

An allowance is still a good idea (even if you can't afford much)

As they head into their teen years, it might seem like your child has outgrown pocket money.

But according to financial journalist Alan Kohler, allowance can teach money skills — even if it's not a lot.

"There might not be much money to go around, but even just sharing a little bit with the children can give them a sense of participating in the family finances," he says.

Ms Higgins says you can extend weekly payments for small children to fortnightly and then monthly as they get older.

"This will help your child develop budgeting skills as they will need to manage the money over a longer period of time," she says.

But what if your teenager has a job — do you still need to pay them an allowance?

If you already have been, then yes, says associate professor of mathematics education at Western Sydney University Catherine Attard.

"You [don't want to] punish people for getting a job — it takes away the incentive to work and earn extra money," she says.

If you feel they aren't motivated to look for a job, consider cutting back the amount, recommends Ms Higgins.

But don't stress if an allowance isn't an option. While it's a useful tool, ethicist Matthew Beard says not paying it won't leave a child worse off.

You can jump to our last two points to see how you can help your young person learn skills even without their own money.

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Get them to save some, spend some

Work with your kids to break up their earnings into three buckets: save, spend and give. ( Pexels: Mentatdgt )

Whether your child is earning money from an allowance or a job — or both — it's a good idea they squirrel some away.

Dr Attard recommends breaking up their earnings into save, spend and give.

"It's really important children understand that money can change things for other people — it's not just about your own self, it's about your community," she says.

Ms Higgins suggests the "50/40/10 rule". "Save 50 per cent, spend 40 per cent and donate 10 per cent to your kid's favourite charity."

What teens are earning from work Research from the Australian Institute of Family Studies in 2017 found children aged 12 to 13 earned an average of $31 a week for about 3 hours' work (usually in informal jobs), while 14 to 15-year-olds earned $77 for about 6 hours (usually for an employer). Teens in outer regional areas or remote parts of Australia were more likely to be employed than those in city areas.

If you can't afford to give money, consider giving time instead.

Spending should be further broken down into wants and needs. And children should be critical about what they buy, adds Dr Attard.

"Doing some shopping [around] before buying the first thing they see [is good]. Consumer literacy is very close to financial literary."

Work on a budget with them (the MoneySmart's budget planner can help) and set up their own bank account.

Mr Kohler says it's never too early to learn about compound interest.

"If they start saving at that early age, it's very powerful," he says.

"Not just saving for a holiday or a car, but for some kind of long-term saving. In 20 years, they'll really see the benefit."

Teens might rather hang out with friends than learn about paying bills, but you will be helping them in the long run. ( Pexels: rawpixel )

Involve them in household spending and budgets

Getting kids involved with the family budget will help them understand the big picture about costs and spending.

When you're a financial planner and dad to a teenager Shanaka De Silva is the principal of a financial services company and dad to 14-year-old Tia. Mr De Silva and his wife set up a bank account for Tia which she can access via an app on her phone. She is paid an allowance and earns some money through working at the family business. "On the weekend she had to buy a new cord for her computer, and in her mind we were paying for it," Mr De Silva says. "When my wife explained she had to pay for it, she said 'that will mean I have no money left'." He says the earlier kids can learn about these types of spending consequences, the better. "They need to understand the flow of money, having to make their own decisions, otherwise they will be in for a rude shock when they get into the real world."

"Your kids will better understand the costs of family life and how much can be saved for other things," Ms Higgins says.

When you receive bills, that is also a chance to educate kids about how much things cost.

"Explain that to pay a $150 power bill it took you so many days at work to earn the money," Ms Higgins says.

"This will help create a connection between time spent at work and money, as well as the fact that electricity and the internet cost your family money.

"It might also make them think twice about leaving lights and appliances on."

Be a good money role model

It helps to practise what you preach when teaching kids about money.

"Parents need to do an audit of their own financial literacy skills and seek help if they don't feel comfortable," Dr Attard says.

"Parents are one of the biggest influences on their children's financial habits, so they need to model good spending and saving habits."

If you don't feel confident, Dr Attard recommends heading to MoneySmart.

It's also worth checking out the ABC's Pineapple Project.

This article contains general information only. You should obtain specific, independent professional advice in relation to your particular circumstances and issues.