Just when your kids start counting on 1, 2, 3… that’s the perfect time to train him/her about saving money. It’s never too early to pass on the tips to your child about saving money. Here are a few effective tips that you can use to teach your child making them learn the value of money so they can begin saving at an early age. Once you enter a gift shop, you’ll always find kids pointing out at their favorite toys, Mom I want this remote controlled car or the latest Barbie doll collection? Now this is right point to tell your kids you need a save in order to get them or wait for birthdays to get them as a gift!
When children turn 3 to 5 years old, parents always try to incorporate the idea of sharing in them while teaching them right and wrong and moral values too. Most of the time parents rudely say a No when child asks for a certain toy or touches a fragile item. It is relatively important for parents to teach their kids about saving money and developing the concept of spending their money wisely.
Buy them two glass jars and print some funky colorful labels with the words “Saving” and “Spending” written on them. Give them a little task to save one penny or cent every day so one day this amount will be enough to purchase their favorite toy that they wanted desperately. This will definitely encourage them to save more at such a young age.
Make sure you teach your kids to count. While your child is happily saving money in a jar or lovely piggy bank, ask him/her to count what is being added to it and how much the savings has increased until now. After all, getting an expensive and big toy is never easy.
Once your child turns bit older, open up a savings account for him/her. Teaching them the importance of saving at a young age will develop patience in them. Opening a savings account is a better way to accurately track the savings done with the passage of time.
This will give them a taste of practical life and will help develop trust in financial institutions. They will save money without thinking of breaking the bank and considering that they will get their hands on their favorite toy soon will bring ultimate thrill and joy within the child.
Reward your child for whatever good thing they do! When they’re patient enough to control themselves and develop the habit of saving, treat them with little monetary rewards so they can add them to their savings which will accelerate their goal list. Well, you can also buy them a toy!
Moreover, instead of giving gifts that a child isn’t interested in treat him/her with the ones he/she wants. Ask them for a list of items they want listed with priority and budget. Those who are planning to gift him/her on birthday can go through the list and then select the one they can gift. Nowadays, it can be easily done through our easy and tech-savvy website.