Mom’s Money

A Penny Saved Is A Penny Earned – A Lesson That Needs Your Help

You and I may have grown up with those words planted in our little heads, but maybe not this younger generation.  Our children were born and raised in a world of instant gratification, a world of swiping plastic for everything, a world without cash.  How many households still have “penny jars” around, let alone savings books?

I certainly remember having a savings book from the bank.  Perhaps you had a babysitting job or paper route and put half the money you earned in your savings account.  If so, you’ll remember the sense of accomplishment as you watched that dollar amount grow.  Each time you deposited your money, the amount was adjusted to reflect your new balance with the always surprising addition of a few cents of earned interest.  What a wonderful feeling to earn money for just saving it!

This is a part of our youngsters’ lives that is missing, in my book.  I feel that the sheer pleasure of saving your money, hopefully to have enough someday to buy something wonderful, is a pleasure that our children need to learn.  The desire to buy something new, and working hard to save your money to get it, is an under-appreciated thrill these days.

I may be waxing a little nostalgic, true, but I also feel this little savings book idea is a good one to teach your children the importance of building a nest-egg in the future.  When your children reach adulthood they’ll need to have the tools to create a financial security in their own lives, and someday the lives of their own family.

Your bank may no longer give out savings books to their young depositors, but they’ll surely print out the balance so your child can see their savings in action. I’d like to see you give this little plan a try.  Open a savings account with your child, perhaps with their next birthday gift of money.  Ask your child to think of a goal, something they would like to buy or do in the future.

Encourage your child to continue depositing gifts of money and earnings so they may see their savings grow.  Stop at the bank often to watch the results.  Be sure your child’s goal is far enough in the future so that you can watch the savings for an extended period of time.  Then, when the day comes that they can realize their goal, be there with a smile, a big hug, and a hearty “job well done!”