Cramer's Guide On How To Make Children 'Fluent In The Language Of Finance'

If millennials aren't interested in investing, is there any reasonable expectation for children to take up stock picking as a hobby? Savvy investors looking to teach their children a thing or two about finance should start as early as possible and not rely on the school system, CNBC's Jim Cramer argued during his daily "Mad Money" show.

"You simply cannot rely on the public schools and even these ritzy private schools to teach your kids about money," Cramer said. "If you want your children to be fluent in the language of finance — you have to do it yourself."

Fortunately, step one is simple, Cramer explained. Give kids the gift of stock in a high-quality company that resonates with young people. For example, Walt Disney Co DIS resonates with both boys and girls given its blockbuster movie franchises including "Frozen" and "Star Wars." Parents should consider giving their children a "couple of shares" as soon as they are old enough to appreciate its big movie franchises.

By the time children are ready to for college their Disney shares will likely have achieved a decent return and reinforce the importance of saving and investing, Cramer continued. This is especially true when considering college students are a prime target for new credit card accounts. The opportunity cost of not investing could be large credit card debt that could take years to pay off.

"If you don't want to do this for your children, do it for yourself, because kids who can manage their own finances are kids who won't be begging you for moola even after you have gone into retirement," Cramer concluded.

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