How To Encourage Saving For Children From Day One

Funny and quirky savings banks are a great way to encourage saving for children. Getting a child to put coins in the piggy bank slot, before they are old enough to know what money or savings are, is an excellent way to start them off. It can be easy to get them interested and keep that interest in saving as the grow older.

From a few months of age, children become fascinated with certain toys or cartoons and manufacturers have used this to expand their production lines. There are models to reflect every cartoon or toy you can think of. The models that are more likely to succeed are the ones that talk, sing or move and have more novelty appeal to the child.

These money banks which come in all shapes and sizes are used the world over by individuals and those collecting for various causes. Children appear to have a fascination for placing coins in slots and encouraging them to do this with charity boxes helps to enforce the piggy bank habit.

As the advertising world is well aware incentives are a great way for promoting a product whatever it is. So by agreeing with a child that when they achieve a certain target with their savings they will receive a reward, it is encouraging them to save. Praise them when they reach the target and ensure the target is achievable.

Children often have bank accounts as gifts when they are born. Gifts of money for special occasions throughout the year are not unusual. If these money gifts are deposited in the savings account, they can sit back and watch their savings steadily grown.

Possibly the most effective way to encourage saving for children is by example. Parents, who regularly put all their small change into a jar or piggy bank and encourage the child to do it for them, are setting a good example and establishing a habit. This habit is likely to carry on throughout the child's life time.

Derrick Janson is an expert in Teaching Kids About Money. He has taught about saving for children topics, allowances, budgeting and making money for kids.