This Tuesday, April 23rd, marks the American Bankers Association’s Teach Children to Save Day. Teach Children to Save is a national program that organizes banker volunteers to help young people develop a savings habit early in life.
The goal of this initiative is to educate children (students aged 5-18) on saving, budgeting, recognizing needs and wants, and how interest makes money grow and to encourage them to open youth savings accounts to help them better prepare for their future.
According to a study published in Business News Daily, parents are more likely to talk to their children about having good manners and getting good grades than they are about good savings habits. In fact, only 13 percent of parents asked said they talk about financial matters on a daily basis, but interestingly enough 67 percent of parents felt they know enough about money and finances to teach their children about saving.
It is never too early to educate your child about money. One of the best ways to introduce the concept of money is to lead by example. For instance, next time you plan to make a deposit or withdrawal at the bank, bring your child along with you and explain what you are doing and why you are doing it. Also, explain why you save money.
It is important to instill the notion that money doesn’t grow on trees. This is usually where an allowance comes in to play. Today, there are also many virtual tools parents and children can use to educate about money and help develop savings habits very early on.
Here at American Consumer Credit Counseling, we believe that our nation’s economic future depends on the financial well-being of our youth. It is crucial that children begin learning about finances at a young age so they are better prepared to make sound financial decisions in the future.
In celebration of Teach Children to Save Day 2013, download our free workbooks for youth of all ages to understand the basics of money management and assist in developing financial habits for the rest of their lives while having fun in the process.
- Financial Fun (for parents and kids in grades k-2)
- Money Mania (for kids in grade 3-6)
- Dimes to Riches (for kids in grades 7-12)
April is Financial Literacy Month! How financially fit are you? You poll responses will help us identify and provide educational opportunities for our readers.