One of the most important traits you can teach our children is to save and invest! They can do so much with this knowledge over a lifetime. It will also protect them. It will teach them many important traits such as financial responsibility, self-discipline, security, perseverance, self-confidence, and can-do attitude.
There are a few important steps in this process. It is ok to help but important they take ownership of growing their account. You might help fund it but they should be responsible for the saving- good and bad. This is important as they will make mistakes but it is better to learn young than late in life. You will be there for guidance and you should give if asked but remember it is their money and their decision. Investing is about self-discipline and responsibility. We will continue to offer ways to help save and invest but these are a few.
Saving/Investing for Kids.
- Start a savings account (Investing for Kids) or for young kids the piggy bank!
- Start a brokerage account (Brokerage Firms for Kids).
- They should make a goal.
- Often birthday money or gifts fund the account are great to help with the goal.
- Challenge them to hit a goal to increase the savings based on their desires. They will create the self-discipline and can-do attitude. It will become addictive as they will learn patience is not only a virtue but rewarding and self-confidence boosting.
- Get them a debit card to learn how to control spending. Enforce limits i.e. make them responsible. That means don’t come to the rescue when they overspend.
Starting at a young age, you will be doing kids a wonderful service. It will be one of the best educations you can teach them over the years. Making saving and investing a game, kids will quickly see the rewards of being a Fiscal Investor.
There will be many tools and calculators to help you with the process but here is an example of growth over the years.
You are the coach and educator of our kids teach them well and before long they will be teaching and reminding you! We are all striving to be the Fiscal Investor.
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Please reach out to info@fiscalinvestor.com with any concerns you may have. We look forward to hearing from you.