How to Save for Your Child’s Future
The future is looking expensive…especially if you have kids. However, with the cost of living still rising rapidly, how are you supposed to put money away for their future? Cars, college, weddings etc. all cost a lot of money and aren’t things you can just leave to fate. So, if you want to save some money towards your child’s future, here are few ways you can do it.
Open an Account
Firstly, if you’re taking out cash from your own account and trying to save it in a piggy bank at home, don’t. You’re more likely to dip into that cash for unnecessary things just because you know it’s there. You’ll save up a decent amount and then the washing machine will break, and you’ll be back to square one. It’s also a safety hazard to keep large amounts of cash in the home. Just the presence of a cash box in your home is enough to tempt burglars to break in. If you want to start off on the right foot, open a bank account; preferably one where you’ll gain interest over the years.
Sell, Sell, Sell
Over the years, your children will accumulate a lot of material items that they’ll no longer need as they get older – clothes, toys, books and many more. Instead of throwing them away, as most of us are guilty of, sell them instead. There are lots of dedicated markets where you can sell items like these and get a great price if they’re in good condition. Any money you make can go towards saving for your child’s future.
Unfortunately, there are times when saving money is less affordable just because of silly mistakes. Perhaps you’ve taken out a loan without thoroughly checking the interest rates and you’re now paying back more than you wanted to. Always be smart when it comes to money and never jump into making any decisions. Websites like CardGuru are a great place to compare credit cards and find one that suits you, instead of saying yes to a card you may not be able to afford. The smarter you are with your money, the more disposable income you’ll have.
Teach Financial Responsibility
Your child’s financial future isn’t entirely down to you. Teaching your child about money and how to use it wisely is one of the best things you can do as they grow older. Perhaps a percentage of your child’s pocket money can be saved in their account. Any money received on birthdays or Christmas could be saved as well. That doesn’t mean your child has to miss out, but it teaches good saving skills for the future and it means you’re not saving entirely by yourself.
Did you know that through the magic of the internet, your child’s relatives can now donate money towards their future? You can set up a savings page and family can donate to a college fund from as young as you like. By the time your children are ready for college, there may be a significant amount.
Why not start saving for your child today?