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The video games boosting kids’ financial literacy

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The video games boosting kids’ financial literacy

New research reveals while most Aussies admit that better understanding their finances through traditional channels, such as personal finance websites and online courses, can be confusing (76%) and boring (69%), 71% believe gaming can be an educational tool when it comes to learning about finances. 

The survey from ING found close to two in five (38%) Aussie gamers say the strategies used in digital games have positively influenced their current saving habits, and nearly three in five (58%) of them say they would be more inclined to play a digital game if they knew it would improve their financial literacy.

For those who play digital games (approximately 15.8 million Aussies), the most common financial skills learned include general saving habits (28%); understanding of profit/loss (27%); creating a budget (25%); investing (20%); and debt management (15%).

When asked about what games helped them improve their financial understanding the most, Aussie gamers rank The Sims, Minecraft and Financial Football in their top three.

The top 5 games were The Sims (51%), Minecraft (42%), Financial Football (39%), Animal Crossing (28%), and Call of Duty (24%).

Of the generations, Gen Z Aussies are the most likely to say that learning about finances through traditional channels, like personal finance websites and online courses, can be boring (84%). Nearly three in four (73%) Gen Z Aussie gamers agree that digital games can be educational when it comes to learning about finances.

Around three in four of this generation that are gamers (77%) say they learned financial skills from gaming, with one in three saying they gained a better understanding of profit/loss, as well as learned general saving habits (34%) and how to create a budget (28%).

Emma, a 25-year-old, NSW-based primary school teacher, was able to move out of home at 18, with the help of playing The Sims.

“I spent whole summers as a teenager playing The Sims,” she said. “I loved building my [Sim] families’ empires from the ground up with a mix of career driven aspirations and tight budgeting.”

Emma said she never used money cheats because saving money – aka ‘Simoleans’ – was the most fun part for her.

“Guess who ended up being a great money saver in real life?” she said.

“In my teens, I started saving young with the aim of being able to move out of home and be financially independent by 19.”

Emma moved out of her family home into her first rental apartment as an 18-year-old with $12,000 in savings.

“I’d like to think The Sims prepped me for as a young woman. Not only did playing video games teach me how to budget better, but how to be more patient when tracking towards my financial goals, too,” she said.

“These days, I’m taking this same approach – of a tight budget and a sprinkle of patience – to help me save $15,000 to travel abroad.”

With young Aussies seeing and experiencing educational benefits from digital gaming, it’s no surprise that 71% of Gen Z Aussies say they would be more inclined to allow their child to play a digital game if it had a financial education element. 

Matt Bowen, Head of Consumer and Market Insights at ING Australia, said the company’s research has shown that digital gaming may offer Aussies a fun and engaging way to pick up positive financial habits.

“It may also play a larger role in financial wellbeing for the next generation of Aussies, like Gen Alpha, as parents seek more fun and engaging ways to teach their children (and themselves) about finance,” Bowen said.

“So, whether Aussies practice saving up their ‘Simoleans’ in The Sims to buy a home, or invest in the Turnip ‘Stalk Market’ in Animal Crossing to help pay off their debt, playing these games, coupled with helpful, straight forward insights from a trusted financial institution, can empower Aussies with fun and practical ways to tackle financial success.”

The original version of this article was published by ING.



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