April is Youth Month!
How to Train Your Kids to Build Savings
Teach children how to build their savings and they’ll have one of the most difficult aspects of finance mastered by the time they’re teens – being consistent savers.
Here are a few ideas to help:
- Have young children – preschool age – sort different types of money into piles by color and size.
- Play store. Help them use a pretend cash register.
- At the grocery store, let children of all ages help you shop. Teach them how to comparison shop – for example, show them that for every $4.85 box of cereal, there may be similar brands on sale for half as much.
- As children get older, let them know what things cost. Share sales receipts and bills that you receive for items or services you’ve purchased for them.
- If you decide to pay your children an allowance, include them in the decision. Discuss allowance amounts and what they should use their allowance for. The amount is up to you, but allow their input. One idea is to have children set aside part of their allowance for spending, part for saving, and part for sharing. Explain what you’ll pay for and what they should be responsible for. For example, when you’re at the movies, maybe you agree to pay for the movie ticket, but the Milk Duds are on them.
- As they reach high-school age, clarify what you will pay for and what your teens are responsible for. For example, they may want the newest cellphone that comes with a really high price tag. Establish your spending limit. If they still want the more expensive version, have them make up the difference. Often, once they are responsible for paying for items, the “latest and greatest” isn’t as important.Bring your children to Altana to get them started with saving!
As part of our Youth Month Celebration, if you open or make a deposit into a youth account at Altana FCU during the month of April, your child will be entered to win one of three $50 deposits and a special meet and greet with “Scout the Owl” from ZooMontana!*
*Some restrictions may apply. No purchase necessary. One entry per child per day. Many will enter, one from each age group will win (ages 0-11, 12-15, and 16-18). Contest ends April 30, 2017. Drawing will be held by May 9, 2017.