Organizing a garage sale
Your child will learn to:
- appreciate the value of money
- give new life to used possessions
- develop compassion for others
- count change
Activity summary
For children ages 8 to 9
As your child grows up, he or she will no doubt start to exhibit more preferences as a consumer. And some childhood toys won't get as much use, because our interests change as we get older.
Time to plan a “garage sale”! Your child can give his or her toys a new life, make a few dollars to buy something new and learn some financial concepts at the same time.
At this age, your child is able to distinguish between needs and wants, use and manage money, and make some consumer choices.
- Additional material
My needs and my wants (PDF, 1.6 MB) - This link will open in a new window.
1. Distinguish between needs and wants
As your child gets older, he or she will become immersed in developing an identity. Growing up is all about discovering and becoming comfortable with who we are. To help our children through the process, we need to ask about their new interests and the likes or dislikes that they—and their friends—are developing.
Here are sample questions you can ask to help your child better understand the concept of needs and wants:- Why do you want a new toy or game?
- Why don't you play with the ones you have anymore?
- What would you like better? What do your friends like?
The big question that every parent faces is “How can I tell whether this is a legitimate request or not?” Is it a need—or a want? Taking an inventory of your child's existing toys can provide the best answer: If they aren't right for his or her current age, it's a need. If he or she already has a number of items suitable for this age, it's a want.
2. Learn where money comes from
- Quick tips
Financing methods
Does your child know how to get the money needed to buy what he or she wants? What can be done to save for a new purchase?
Selling a possession is one easy and popular way to make money. While online sales are an interesting variation, holding a traditional garage sale will give your child more responsibility and lead to more direct opportunities to increase his or her financial knowledge.
Before the sale
1. Sort through toys and games that aren't being used anymore.
With supervision, your child is able to sort through items in good condition that he or she is no longer using.
2. Set a price for the items
Let your child take part in setting prices; for instance, comparing items he or she would like to sell. By getting your child directly involved in the process of organizing the garage sale—either by choosing the monetary value of items or being responsible for the dollars brought in—you'll help him or her become more responsible and aware of the value of money.
3. Make sure everything goes smoothly the day of the sale
A few organizational tips:- Assemble the information your municipality requires (garage sale dates, necessary permits, registration).
- Make posters advertising the sale and display them in strategic locations (telephone poles, grocery stores and other businesses). Talking up the sale with family and friends is also a smart strategy!
- Have petty cash on hand so you can make change as needed. This is the time to make sure your child knows the different denominations of money.
- Get the sale venue ready to display items.
- Plan to have a table and chairs handy.
- Consider whether you will sell enough to reach your financial goal (that is, to pay for the new item your child wants). If not, increase the number of items offered so you generate enough sales to make a profit.
- Suggestion: Your child could make other things to sell—like jewellery, greeting cards, lemonade, etc.
During the sale
Children ages 8 and 9 are able take responsibility for many aspects of the sale. The main ones are:- greeting shoppers and welcoming them with a smile
- managing the till and giving shoppers correct change
- knowing about the items that are for sale
- presenting specific items
- answering shoppers' questions
- bargaining with buyers and closing sales
After the sale
After you clean up the area and put away tables, chairs and unsold items, it's time to tally up your sales! Your child is able to:
1. Calculate profits
Count up how much you sold, then calculate the difference between the costs you incurred in preparing for the garage sale and the money you took in. Are you in the black? Did you reach your goal?
2. Decide what to do with unsold items
- Donate them to charity.
- Contact a liquidator.
- Keep them for another garage sale. Some municipalities allow each address to hold 2 sales per year.
3. Determine what to do with the money taken in
If you've achieved the profit you were hoping for, your child will be able to fund the purchase of that new toy or game. And after holding a garage sale, maybe he or she will be interested in exploring the other side of the coin, as a buyer. Who knows, you just might find the item you’re seeking—for less.
4. Evaluate the experience
- Quick tips
What to do with income
- Do you think the garage sale went well? Why?
- If you were doing it again, what would you do differently?
- What will you do with the money you made from the garage sale?
- Did you bring in enough to pay for your new purchase? If not, what can you do to make up the difference?
- Where will you go to buy the toy or game you wanted? If you have any money left over, what will you do with it?
- Do you think the garage sale allowed you to meet any interesting people?
- In your opinion, is having a garage sale good for the environment?
- Is having a garage sale a good way to earn a few dollars?
Financing methods
There are many methods a child can use to make money to finance an activity or a purchase. Whether you're a parent or teacher, here are a few ideas you can discuss with your child, depending on his or her talents and interests.
Group financing
To finance a school activity, children can sell calendars, coffee, or pens, collect empty cans, etc.
Individual financing
To make money for personal purposes, your child can sell homemade cookies or cakes, handmade scarves, hats or mittens, lemonade, jewelry, toys he or she no longer plays with, etc.
Your child can also sell services:
- child or animal care
- washing windows
- shoveling snow
- mowing grass
- washing cars
- running errands for elderly people
- household tasks
- gardening
- newspaper delivery
What to do with income
Teach children how to divide his or her money into 3 categories: saving, spending and sharing. Make things fun by setting up 3 separate piggy banks or containers your child can decorate.
- Saving. 10% of your child's income should go in the “saving” container. The money can be used in the short or medium term (e.g., family activities, vacations, a new bike, etc) or in the long term (e.g., investing in a registered education savings plan, buying a first car, etc.). Take this opportunity to discuss your child's dreams and projects.
- Spending. 80% of your child's income should go into the “spending” container. This can be for planned expenses or a special treat.
- Sharing. The last 10% should be reserved for the “sharing” container. Many experts suggest that parents encourage their children to be generous and put money aside for the charity of their choice.