The fifth in line to the throne made the comments in New Zealand where he is relaxing after calling time on a decade-long military career, saying he felt "at a crossroads".
He said the birth of brother William's second child Princess Charlotte last week had increased his desire for a family of his own.
"Of course, I would love to have kids right now, but there's a process that one has to go through," he told Britain's Sky News.
The 30-year-old, who split from girlfriend Cressida Bonas last year, railed against being labelled "the party prince".
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"I never wanted that," he said, adding that he was looking for a role where he could "give something back" when he officially leaves the military next month.
The prince, who has won praise in New Zealand for his down-to-earth manner, admitted both he and William wanted to work alongside "normal people" and earn a living.
"Surely in the future, from our point of view, if we want to make a big contribution and be taken seriously, we need to work alongside other people."
Visiting remote Stewart Island, New Zealand's southernmost settlement, Harry told schoolchildren about his love of flying and why he always has to follow protocol when talking about his grandmother, Queen Elizabeth II.
In an informal question-and-answer session with the 24 pupils of Halfmoon Bay School, he fielded queries ranging from whether he has a crown (no) to his favourite food (spaghetti bolognese).
"You have a moving office... There's only two of you in the office and no one else can bother you," he said.
One child wanted to know what he called the Queen: "I call her granny," he replied.
"But I refer to her as the Queen because I'm in the army and she's my boss.