Home Kids Encourage your children to start saving

Encourage your children to start saving

Saving money is one of the most important aspects to securing your financial future. When taught early, it becomes easy to develop good financial habits that will yield long-term benefits.

Ester Ochse, from FNB, said that encouraging children to save from an early age plays an important role and will help when they get older.

“Exposing your children to saving and managing their own finances early will allow them to make mistakes, learn from their mistakes and identify habits that will help them be more responsible with their finances.”

Ochse shared tips on how parents can encourage children to save:
  • Help them set a goal. Firstly, you need to help them set a goal and demonstrate what they stand to achieve if they reach their goal. For example, if your child wants to purchase a new TV game, encourage them to save from the pocket money they receive and set a timeline to achieving the goal. When they reach the goal, they will see the benefits of saving and working towards what you need.
  • Wants vs. needs. Understanding the difference between needs and wants is crucial in helping children avoid spending money on unnecessary expenses. Once they understand the difference, they will be more cautious about where and how their money is spent.
  • Match their savings. Consider matching your child’s contribution. For example, if their monthly target is to save R300 a month, match it with R300 to make it R600. This will encourage them to continue saving because they will see progress and value of their savings.
  • Lead by example. When you receive your salary every month, sit down with your kids and show them how much you are saving towards their school fees. At the end of the year, show them how much you have saved as well as the interest received on savings. Furthermore, show them the discounts that applies when paying school fees in advance and demonstrate how much you will save because of paying school fees in advance.
- Advertisement -

 

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read

motus.cars makes buying a car as easy as a “click” …

SA’s leading automotive retail group, Motus Holdings, has unveiled its online brand, motus.cars. Motus is the first auto retail group to launch a true...

Love Local…

If you’ve popped into a Pick n Pay Clothing store lately, you’ll no doubt have seen the brilliant limited edition ranges, affordable ranges designed...

LG XBOOM Giveaway

LG has launched a sleek, new XBOOM series …and you’re going to want one! (Good news … we have one to give away!) Summer’s here...

Hair loss … and how to prevent it

Every brushed your hair and then gasped in horror at the amount of hair you see in the brush? Many of us get startled...

8 Things You Never Knew About TV & Radio Personality Graeme Richards…

South African television personality and actor Graeme Richards is a seasoned entertainer with years of experience under his belt. Having hosted a variety of...