Why should I suggest that my child plan a garage sale?
1. Distinguish between needs and wants
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. You can also offer your child this fun activity to help differentiate his or her needs and wants!
2. Learn where money comes from
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.
How can I help my child plan a garage sale?
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, 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 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 (with the help of a parent if necessary)
knowing about the items that are for sale
presenting specific items
answering shoppers' questions
After the sale
After you clean up the area and put away the stand, 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
Help your child rate the experience by asking questions like these:
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?