Learning to save is like learning to ride a bike. If we teach our kids how to save early in life, they will never forget. Studies show that people who have a handle on saving for long term goals and who are financially responsible are less stressed, have less conflict in marriage and relationships, and have a better, happier outlook on life.
Make saving a family fun activity by including your young children in counting and depositing money into a piggy bank or even a simple box they have colored. Make the activity of saving a weekly goal and a habit by putting the activity on the calendar every single week or even more often for children under six. The piggy bank deposit could be five cents for each child or fifty dollars. Remember it doesn’t matter how much your family deposits into the piggy bank. It only matters that the activity is done regularly and is a fun experience.
Young children should start with small savings goals such as saving enough for a trip to get ice cream or a small treat they enjoy. If the treat costs $4.00, save $8.00. Then when it’s time to leave on your adventure to purchase the treat, help your children count out $4.00 from their piggy bank or box, making sure you point out that you are leaving the rest of the money in there for the future.
Keep saving! With every small item or treat your child would like to save for, save double the amount needed to purchase it. By doing this, you’ll be teaching your children not to spend everything they earn. They will be well on their way toward understanding personal finance, learning the importance of an emergency fund and learning financial self-control.
For older children and teens, help them create longer term goals that are age appropriate. For instance a child of 8 or 9 might set a goal of saving for a larger toy that they want to purchase, while an older teen may set their sights on saving for a first car or a security deposit on an apartment.
Knowledge can change lives and internet research is a teen’s oyster. Don’t be afraid to suggest to your teens that they research financial retirement strategies. Knowing about these strategies early may just change how they spend and save! Then ask them what they’ve learned. Ask them how they see their futures. Saving just a few dollars every month with American Southwest Credit Union, starting very early, can contribute to a financially secure life when your teens are ready to retire. Who knows, you may just have a future millionaire on your hands!
August 3, 2020
Looking for a fun activity to help encourage your young children to save? Make clay money toppers with your kids for a fun and inexpensive activity. Sculpey Bake & Bend or Craftsmart Oven Bake Clay both work well because you can bake the clay in your regular oven at home.…read more.
April 2, 2020
Reading is usually a part of an everyday routine with kids. But what about saving as an activity? Saving money is a habit. And developing that habit at an early age is crucial. Here's a quick tip to develop this habit early on. Give each family member a clear jar…read more.
March 23, 2020
While we are spending some unexpected time at home, it can be a time for the whole family to learn money saving skills and to have some extra time for family bonding. I’ve put these ideas together for approximately ages 8-18, but even some younger children are able to learn…read more.
January 13, 2020
Have you ever wondered how to teach your kids financial responsibility? How do we prepare our kids to save for the future and to budget, without scaring them with our own problems? Financial independence and living a debt free life is one of the key elements of happiness. Money cannot…read more.
July 10, 2019
Q: Is there any way to get through the back-to-school season without spending a small fortune? A: Back-to-school time is the second largest shopping season of the year. If all that spending makes your head pound, take heart. American Southwest Credit Union has your back! We'll help you navigate it…read more.