With all the current turmoil in the world economy banks don't appear to be quite as solid as people might have thought. Very few people would have expected to see all the problems with the uk banks that we have seen over the last 12 months. Yet its happening, banks being bought out, taken over, bailed out, stock prices plummeting and this might all be making you a little twitchy and confused.
The idea behind this site is to give you solid information on UK banks, and UK banking , along with some personal review on the high street banks.
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Teaching Kids to Save Money and Plan for the Future
A young mind is like a sponge, ready to soak up knowledge. Teaching kids to save is one of the best things you can do for them at an earlier age. This will help to set the foundation for a secure, debt free future. You can actually start much earlier than you might think, when you when teach the concepts of saving money. Some parents begin as early as two years old.
What Are You Teaching Your Children?
For a very little one, the steps involved in teaching kids to save should be extremely basic and can start out with the gift of a piggy bank. Piggy banks come in all shapes and sizes these days, as well as non-destructible materials such as child safe plastic. Find something that will peak your little ones interest. You can explain when they help around the house they will receive money to put inside their bank. When they have enough money, they will be taken somewhere special to spend it. The younger the child, the smaller the attention span; so saving up for small things is a better bet. Think pound store toy aisles, or a trip to the ice cream store. In other words, something they will enjoy but will be able to save for in a short amount of time. Teaching kids to save is all about finding elementary ways to explain the complex concept of money.
While most children under five are limited in what they can do to help around the house, a two or three year old can assist in picking up toys and putting them back in the toy box. He or she can also help by assisting a grown up in feeding or caring for the family pet, or perhaps helping in cleaning tasks like dusting the room with socks. For every helping hand they lend, you can give them some money to put in their bank. The more fun and easy you make this lesson the easier it will be retained.
Adding More Responsibility as He/She Develops
Teaching kids to save money can become more complicated as the child grows older. When he or she hits a double-digit age, and is already earning a steady allowance for chores, the child is usually ready to open a savings account. First, sit down with your child and explain the basics of budgeting. You can show him or her how to split their allowance money into two categories; spending now and saving for later at the bank. Find out which banks in your local area offer children’s savings accounts, and the benefits that go along with them. If your child is old enough to understand, you can even explain interest to them—money earning money!
You can make this a fun experience for your children by helping them decide what they are saving up for, perhaps even putting up a picture where they can see it to help motivate them to save. You can offer to match their savings pound for pound if they are having a hard time saving instead of spending. There is really nothing like a first “big” purchase with one’s own saved money! Teaching kids to save is a lesson they will not soon forget. Having his/her own bank account can help a child feel more responsible and this in turn can help them mature into fine adults.
Additional Lessons in Thrifty Spending
Teaching kids to save once they reach the teen years can be more difficult if you have not already laid the groundwork down. Still, that does not mean it is impossible. Clue your teen in on the expenses of things they may be taking for granted such as cell phone costs, movie outings and more. You can encourage your teen to get a small part time job at first and to save a portion of his/her money for upcoming future events, such as the first car, or saving a percentage for college tuition.
One of the best things you can do for a child of any age in regards to money is to save money in front of them. Set the example by reasonably spending and saving for the things you want rather than simply charging them to a credit card. Many children pick up on their parents’ money-spending habits, so be sure you are setting an example worth following! Teaching kids to save now will help them for the rest of their lives!