Financial Literacy for Kids

Smart savings habits are key to achieving your future goals.

Here is a question to ponder… When did you start setting savings goals?

Let’s give the kids of today the best gift we can towards their future: the habit of saving. Here are our top 2 tips:

1. Money grows when you “save it and leave it”.

Explain it to them this way… If you save $1/day every day and you start saving when you are 10 years old, by the time you are 60, you will have saved $18,250.

When you factor in compound interest, it grows to $105,972. That jump is the value of “save it and leave it”.

2. To reach their goals, teach your kids to “Set, Sort and Save”.

Set – Set your savings goals. What things do you want to save for, how much do they cost and when do you want them.

Sort – Sort out how much money you will put towards each goal.

Save – Save for all your goals at the same time.

Financial education has many components. Smart savings habits are one of the key pillars of being financially sound. Make it part of your everyday teaching.

Source moneyprep.com