Most parents keep their finances hidden from their children. You don’t want your kids to worry about mortgage payments or that dentist bill that’s causing you stress. While your intentions are good, you’re preventing your child from learning valuable lessons about money. Continue reading “Young Money: Your Child’s First Bank Account”
As a parent, there are a thousand things you need to do for your kids. From making sure they’re looked after properly, to giving them love and providing them with good life skills, there’s always something else. Continue reading “Giving Your Kids Some Financial Smarts — The Rule of Thirds”
Kids think they’re going to live forever. When you’re 19 and at college, the idea of retiring seems like a distant event that will never happen. But, as anyone who is older knows, those years can go by fast, and when they do, you need to be prepared. Continue reading “Why College Isn’t Too Soon to Start Planning for Retirement”
College costs are one of the biggest expenses a student (and their families) will ever have to pay. A four year degree will cost between $40,000 and $120,000 for the tuition alone, before figuring in housing, transport, food, and all the other costs a young academic has to pay. In fact, research shows that on average it takes 21 years to pay off student loans!
Depending on when your kids are going to go to college, you’ve got several options to help them pay for their education — Let’s explore what they are.
Savings Clubs are making a comeback!
When it comes to personal finance, what is old has become new again. The latest new thing in thrift is the savings club, a time-honored tradition that our parents and grandparents relied on to accumulate money for the holidays or for a special purchase. With the advent of the credit card these plans have largely faded away, but are now enjoying a revival. The idea of the savings club is both simple and financially prudent. Instead of paying for your next major outlay, for example a vacation, a remodeling project or just your annual holiday spending blowout, by piling up credit card debt and racking up interest charges on top of whatever you may need to spend, a savings club account lets you plan ahead and start saving incrementally for your next big expense. Continue reading “Savings Clubs are making a comeback!”
Science has taught us that children are like sponges – they soak up the most information when they are young. Linguistic experts always note that children who grew up hearing phonemes of other languages have an easier time learning the language when they are older. The same is true when it comes to learning about finances. The bottom line is: children pick up habits when they are young and it shapes who they are as adults.
Now, I am not advocating for you to sit your three-year old down to help you balance your checkbook – although, I would be impressed if they could do it! However, there are other ways to teach your children valuable lessons on saving, such as:
“Recycled.” “Gently used.” “Vintage.” Call them whatever you like. But buying second-hand goods is a great way to save money to achieve your financial goals.
During the recession, Americans looking for ways to cut spending began shopping at thrift stores and buying used merchandise. The trend continues today with sales increasing 12 percent since 2008, according to the Association of Resale Professionals.