Want to teach your kids financial responsibility? Here are some tips on teaching kids to save money from the ParentTown community.
If we want our kids to grow up into financially literate adults, we should start teaching teaching kids to save money from a young age.
“By sharing financial lessons with our kids starting at an early age, we can help them understand the importance of being financially responsible and self-sufficient for life,” financial consultant Pamela Yellen tells Parenthood.
One ParentTown user asked the community about the different ways they teach their kids to save.
Here’s how the ParentTown community responded about teaching kids to save money.
Teach them delayed gratification
It’s important to let your child know the value of money. That doesn’t mean telling your child that you can’t afford things if you don’t want to buy them—do what Stan O. does:
“I’ll tell my child that if she wants anything from a store or mall, we can’t immediately buy it,” he wrote. “We have to save money first.”
Buy them a piggy bank
Introducing kids to the concept of a piggy bank is an effective way of teaching them how to save. “Feeding” a hungry pig money is a fun and exciting activity for kids, who will eventually understand the purpose of what they are doing.
Luz A. wrote that she plans on buying her kids a piggy bank (see above) that would also teach her kids to donate and invest.
Open up an account
Joey S. wrote that once her kid’s piggy bank is full, she would “bring her to the bank to open up her own account and deposit the total amount of money that she has saved.” In addition, Joey said that she would add some more money to reward her child’s efforts in saving.
Opening up their own account will put them in the habit of saving and make them comfortable with going to the bank, admittedly an intimidating place for many kids.
“When [our kids] turned 7, we opened a bank account that only has a passbook,” wrote Grace D. “When they don’t have anything to spend their savings on, we deposit it in the bank once the jar is full. It gives them such delight when they see their money increasing as marked in the passbook.”
Republished with permission from theAsianparent Singapore.
You might also be interested in the articles below: