Teaching your children about saving money can equip them with core financial knowledge that will serve them well throughout their lives. In order to help the lessons stick, you can aid them in understanding that the secret to getting the things they want is in saving up for them while demonstrating how saving with a purpose is important.
Here are some activities to help teach kids saving basics from our partners at Banzai! https://banzai.org
Create a Savings Goal: Help your child set a saving goal. Children’s goals vary a ton based on their age, but might include toys, sports equipment, electronic devices, special clothes, or other big-ticket items. Let them discover for themselves that not all goals are worth the time and effort it takes to reach them. Once they’ve set a goal, create a clear way for them to track their progress. The more visible, the better. For example, a jar in the living room or a paper chain that you cut pieces off of for each milestone. This will remind them of their goal and give you both the chance to celebrate progress.
Open a Savings Account: Take a trip to First American State Bank and help your child open their first savings account. You can even ask one of our experts to explain how interest works and why it’s wise to store your money in an account. Encourage your child to ask other questions about how financial institutions in general work. You may even choose to contribute a little to help get their fund started. But remember, the child needs to learn how important it is to regularly add money to the account. Interest won’t be enough on its own to reach their goals.