Such ignorance becomes dangerous, particularly "when those kids are prompted by their peers to buy a $120 pair of Nikes," says Duvall, president and CEO of the council.

Now in its 53rd year, Duvall's organization provides curriculum and teaching materials, both online and in print, for parents, teachers and students on fundamental financial matters.

The most critical topics include how to compile a budget, using credit responsibly and being a smart consumer, Duvall says.

The council has successfully convinced about 40 states to integrate those topics and more into graduation standards, but there's more to do, he said. "There still is not enough attention paid to basic financial decision-making skills in this country," Duvall said.

It's important for parents to start early and to teach responsibility along with investing basics, a local financial planner said.

One way to do that: Link money with a job around the house.

"It doesn't have to be a lot. It could be 10 cents or a dollar a week," said Jeff Kolcon, a broker and planner with Brighton Securities Inc. "You're teaching them how to build a savings plan for their goals."

As kids get older, Kolcon said, parents can start talking about sinking that money in mutual funds or stocks. One way to begin that conversation, Kolcon suggests, is to buy a share of a well-known company as a gift. Parents can then show children how to look up a stock listing and track its value.

Parents should also be willing to discuss their experiences with money to explain the basis for financial household practices, said Pamela York Klainer, a Rochester-based workplace consultant and author.

Once that discussion takes place, the family can talk about money management basics, said Klainer, author of How Much Is Enough? Harness the Power of Your Money Story -- and Change Your Life. "Money has a literal role," Klainer said, "but it's the symbolic side of money that's hard to talk about."

Probably the most important concept to start with in teaching money management is the magic of compound interest, said John Wrenn, managing director of the Wrenn/Ferguson Group in Portland, a branch of U.S. Bancorp Piper Jaffray.

Once kids understand how their money can grow, then concepts like investing begin to make sense, said Wrenn. Wrenn wrote Lucky The Golden Goose, a children's book in which Lucky discovers self-sufficiency through planting and replanting pumpkin seeds.

"People underestimate the power of compound interest," Wrenn said. "If you ask them, if you save $50 a week at 9 percent interest, what would it grow to in 40 years? most people would guess under $300,000."

It's actually more than $1 million.

On the Web www.ncee.net: National Council on Economic Education. Resources for parents, teachers, students. www.italladdsup.com: Fun games and activities for managing credit, compiling a budget, paying for college. www.econedlink.org: Briefings on financial issues presented in a fun way. www.lucky529.org: Read an animated version of ''Lucky The Golden Goose,'' learn about 529 college savings plans. www.kidsmoney.org: A series of links to articles giving parents tips for teachign economic concepts to kids. Also includes games for kids. www.nefe.org: National Endowment for Financial Education. Includes links to a site aimed at high school students. www.younginvestor.com: Self explanatory. Includes games, requires Flash. www2.cibc.com/smartstart/parent/TeachingThemAboutMoney.html: Run by CIBC brokerage, includes articles about allowances and more. www.kidcapital.com: Parents, teachers and others working for company that provides articles, software and other tools for teaching about money.