How Young People Can Build Their Savings Accounts
One of the most important lessons parents can teach their kids is the value of saving money. If your kids get into the habit of saving when they are young, it will be easier for them to exercise control over their spending as adults. GCS Credit Union offers three savings accounts for young people with special benefits designed to reward them for responsible financial decisions. If you’ve opened one of these accounts for your children, or if you’re a young saver yourself, here are some ways to boost the account balance.
Create a Routine
One of the easiest ways of getting into the habit of saving is to automatically deduct a certain portion of all money earned or received and put it directly into a savings account. If you’re a teen, consider how much money you really need to pay for your expenses. Parents can help younger children make these decisions when they get money for things like allowance or a birthday. Whatever percentage of money you decide to save, stick to that routine each time you get money and watch the account grow.
Weigh Saving Versus Spending
Parents can help kids learn how to balance spending and saving by teaching them about the trade-offs. Use savings account statements to show how money grows with interest and talk about the value of buying something now versus the value of letting that money grow. Let your kids know that they do not need to save every penny and never buy anything they want—they should simply be sure to consider each purchase carefully.
Look for New Ways to Make Money
The more money young people earn, the more money they can save. For young kids, parents can help by setting them up with chores to do in exchange for an allowance. Teens can consider hitting the job market to boost their incomes.
Show your kids how you manage money by bringing them with you to GCS Credit Union. Don’t forget to explore our savings accounts for kids. Teens can also open checking accounts at our credit union . Learn more by calling (618) 797-7993.