Teaching Your Children to Save

Teaching your kids the importance of saving early on will lead to a healthier, happier, less stressful life for them — and for you.

Experts still recommend the iconic “piggy bank” for young children — except they suggest using a clear jar to stash their cash. That way, kids can watch earnings grow over time. Then, around age 7, consider moving those funds to a kids savings account. Opening a savings account can be a big day for your child.

This kind of account can:

  • Provide a secure place for a child to put money they earn or receive as gifts
  • Introduce a child to saving and using financial services
  • Help to establish healthy attitudes about money and saving
  • Help a child to learn to plan for the future
  • Provide a way to work with your child to achieve a goal

Check with your bank or credit union to see if they are able to open an account in your child’s name or a joint account in the name of both you and your child. Each financial institution has its own policies, so research local and online bank and credit union options.

For more saving ideas for you and your family, take advantage of this free toolkit, “YOUR MONEY, YOUR GOALS: A Financial Empowerment Toolkit” from the Consumer Financial Protection Bureau at consumerfinance.gov.