We humans do seem to learn lessons better through mistakes than just being 'told'. The time to let children make money mistakes starts early, maybe around seven. Certainly by Junior High School their 'budget' should be a lump sum for a long enough period of time that there is some scarcity so they must make choices.

For instance, at age 13 the child receives a six month or year's worth of lump sum for clothes, gifts, and entertainment - preferably in a checking account. Then the hard part: When they run out of money or have to buy a 'cheaper' present for a party the parent needs to not give them more. Suggest paying work (at home, in the neighborhood - wash cars, babysitting, weeding, whatever).

If the emerging adult learns this lesson well, then I'm all for turning over college funds and, yes, the eventual credit card - with the explanation that the card is merely to establish a 'score' that will help with future projects - home ownership, business loans, etc. - so one of the 'rules' is to pay off the balance in full.

A visual explanation of compounding - working for (saving/investing) or against (credit card debt) - is useful too.