Are you on a mission to teach your young ones the value of a dollar? You can do this by guiding them to save for a specific reason such as a toy or electronic. Teaching kids early on about saving and spending money will help them to become a financially responsible adult in the future. Just by giving kids a piggy bank while they are young can show them how and why saving money is important.
Ever wonder where piggy banks came from or why people started stuffing loose coins into small pink pigs? Well, I did a little digging for these answers for you. The origin of piggy banks dates back to nearly 600 years ago, before the modern creation of a financial institution. People commonly stored their money at home in kitchen jars. Back then clay (terracotta) was the most cost efficient for household wares, primarily orange colored clay called pygg. Whenever families could save a coin or two, they were tossed into their clay jars—a pygg pot. Over the years instead of pygg pots, people started to create bank shaped like pigs. And since there were no holes in bottom, the pig had to be broken to get the cash out. This is where the expression “breaking the bank” comes from. From terracotta to plastic and from orange to pink, (to be more realistic) the bank has gone through a lot of changes. Piggy banks are a classic, simple way to save extra money, and when given to a child it can help them learn to save in a fun way.
Another way to teach kids is to save money in front of your children e.g. keeping your own piggy bank or depositing money in the bank when you are with your children. Explain what you are saving for and your children will mimic your behavior. Placing the money your child saved in their savings account will also keep down the temptation to dabble with it. Be sure to praise your child for any amount of money they save.
Now, with the little history lesson behind us, let’s look at some benefits of a child transferring the cash to a credit union once his/her piggy bank is full. How about a Young Savers Club? Or a CU Succeed Teen Club? These accounts are perfect for both students and parents who want to give their kids independence, while giving them a safe guard as well. Check out my FTWCCU’s Youth Club blog for more information.