Teach your child to save
As a parent who wants to ensure the success of their child, one of the best investments you can make is to teach your child to save.
Besides life being unpredictable, it’s just always prudent to save money in order to safeguard your future financially. It’s also one of the easiest ways to build wealth.
When you teach your child to save, you are essentially equipping them with the skills they need in order to create the kind of life thy want for themselves. By being able to afford to meet their needs and wants, this will significantly improve their quality of life. Once they start developing healthy saving behaviour, they will carry this into their adulthood. So when they start working, they will be encouraged by the knowledge that they will not have to live paycheque to paycheque, but will be financially secure.
What are some of the benefits of doing this?
- It teaches your children to be more patient and disciplined.
- Opening a bank account can be a great tool for managing their own money.
- It teaches them to appreciate the value of money.
- Teaching children about saving helps them develop a secure financial foundation.
- The concept of delayed gratification can be taught to children between the ages of 3-5, while spending habits can be formed by age 7.
Simple ways to teach your child to save:
Even though every individual has their own way of passing lessons on, when it comes to teaching children about the importance of saving, it is generally simple to introduce lessons from a young age by using a piggy bank. This can also be complemented by having a dedicated savings jar, along with a bank account.
Using digital platforms can also be a fun and interactive way to teach. You can also make the lessons ongoing by creating a timeline. This way your child can see their money accumulate over a period of time – likely to motivate them even further. It also helps to have a small rewards system to keep kids going.
Go shopping with them and drop pockets of knowledge by being vocal about financial decisions you are making in those moments. Lead by example and explain to them why you are saving.
