Teaching kids how to save money can be challenging yet it is one of the most important life skills they can learn from their parents. Here are some tips on how to encourage your child to save money.
How to encourage your child to save money
Give them saving jar
If your child wants something such as a new toy, tell them that they need to save money for that. Give them a jar, label it with their desired purchase. Then give them an allowance every week in an amount that allows them to save money.
How to save money: Start saving in a piggy bank
A piggy bank may be a fantastic tool for teaching your children the value of saving money and providing them with a simple means of doing so. Emphasize to your children that the objective is to completely fill the piggy bank with coins and bills. Show them that the piggy bank is a tool for saving money for the future and that their savings will increase as they save more.
Open a bank account for your kid
Take your youngster to the bank to start a savings account after their piggy bank is full. To give kids a tangible sense of how much money they have, have them count the amount that will be deposited. Present the last figure to them. It is also the best way to introduce them the idea of interest.
If your children comprehend that their money will increase in value over time provided they don't touch it, that knowledge might serve as a powerful source of inspiration for them.
When it comes to money, teaching them about delayed gratification can help them avoid squandering and instill the value of managing their finances.
This Christmas, mommy and daddy, your child will surely have money from their aguinaldos given by their ninongs and ninangs. It is the best time you introduce the idea of how to save money to them. By doing so, you are teaching your kid an important life skill that they will surely need as they grow up.
Below is an infographic for further tips on how to teach your child to save money.
Updates by Jobelle Macayan