Kids Savings

This latest series has really jumped into many different areas of money management. We’ve almost touched upon everything. Well that’s everything except for brats kids. This is going to be the post for those of you 20-somethings that already have kids or are expecting them in the near future.

Let’s look at ways that you can save some money with those little brats (I mean kids!). We’ll split this discussion up into two parts: saving  money on kids stuff and getting your kids to actually care about money.

How-to save money on kids stuff:

Ask for hand-me-downs.

Growing up in my family there were three boys, with me being the youngest. My brothers have always been lucky because they always pick up all of their clothes and stuff from me. My parents got to save lots of money on baby expenses this way. Once we all grew up, my parents passed on all of the baby stuff to friends and family, helping them save money.

Enjoy child discounts.

We all know that under a certain age  kids cruise free and that many places offer discounts for kids (restaurants, barbers, etc.). Instead of always taking a staycation, you can take advantage of kids discounts to travel with your little ones. They may not remember much, but that’s what pictures are for. There are many child discounts that you can use to save yourself some money.

Keep it simple.

Kids don’t need complex toys. Neither do adults. The most fun that you can have is gathering with friends and laughing- at any age. Kids don’t need the newest electronic or some expensive toys. We need to get back to the basics and embrace the outdoors. By keeping it simple you can save money with your little ones.

Now that we discussed some basic ways to save money with kids, let’s turn the discussion in another direction. How can you get your little kids to learn a little about money management?

Practice strong financial habits yourself.

Many people subscribe to the philosophy: do as I say, not as I do. This just doesn’t work. Especially with money management. Your kids will grow up directly and sublimely observing your own behavior with money. This will influence their spending in the future. Do you want to pass down poor money habits to the next generation?

Use positive reinforcement.

I’m sure you remember how important positive reinforcement was as a kid. Growing up my parents would pay me to perform basic chores around the house. They would also help cover a toy purchase if I saved up for half of the purchase. Through slowly using positive reinforcement over the years I eventually started to take money management seriously.

Establish the value of hard work.

If you start giving your kids free money at an early age without any conditions they’ll never understand the value of hard work and actually earning money. At the very least you should sit down with your kids to explain to them that they’ll be paid an hourly rate to do work around the house. They’ll be shocked to find out how much time and work it takes to make some money. The earlier you learn about the value of money the better off you’ll be.

Practice banking.

I remember getting my first child bank account. It was fun. I’m actually with the same bank to this date. I got to the bank with my mom and they gave me a candy. Then they gave me a piggy bank. Finally they gave me a cool little book that had $20 with it. Wow. I was so impressed by this process that I still get excited about going to the bank. I find that it helps a lot to get kids into some basic banking at a young age.

That concludes our post today. It feels like lifetimes ago since we were all kids. It’s fun to reflect sometimes. Do you have any advice for new or expecting parents?

Check out the rest from the series:

How to Save Money on Your Grocery Bill & Lose That Belly.
Fill Up Your Pad With Cheap Furniture.
Communicate With The World Without Going Poor.
Getting a College Degree Without Massive Debt.
How Daily Savings Add up to Thousands of Bucks.

(photo credit: pka karate)

Martin Dasko

Martin Dasko