subject: Some Tips On Saving For Children by:Derrick Janson [print this page] If you are a parent then it is certainly a good idea to teach your kids the importance of saving from an early age. If you do this effectively then they will certainly appreciated as they become adults and as soon as you start giving them an allowance each week or month you should also begin to teach them about effective money management. With this in mind, here is some advice on saving for children.
At the end of the day kids will imitate their parents actions and therefore it is very important for you to be saving effectively yourselves if you want your children to follow your example.
You should explain to your children the importance of saving towards a specific financial goal. As such, sit down with them and discuss the sorts of things that they might want to buy. For example think of Christmas gifts for family members or something special that they might want to buy for themselves. Children save money best when they have a specific goal in mind.
When they have specific goals setup that they want to meet you should then discuss with them how important it is to put aside a certain amount of their weekly allowance in order to meet this goal. If you do this then you will gradually build up your savings in order to be able to purchase the item that is desired.
When helping your children to save it is a good idea to purchase them a piggy bank to start with. You should certainly start with a single one and then get them a couple so that they can start saving towards different financial goals.
You should follow this example every single year and progression can be made as they begin to get older. Soon the piggy banks will turn into actual bank accounts and they will have developed sound saving techniques that will help them to become financially free as they grow older. But the most important thing for you as a parent is to take action today and start teaching savings for child.
