This holiday season, consider gifting your child, or a child in your life, something that will make a lasting impact. Gifts that promote financial literacy can provide lifelong value for a child, helping them establish the money management skills necessary for future financial independence.
Here are six gift ideas that can help send a child down the path to financial success:
1.) Piggy Bank. A classic piggy bank may seem simple, but it remains a great financial learning tool and one of the most tangible ways to teach a child about saving money. With a piggy bank, a child can see with their own eyes how money adds up over time. By putting gift money or allowance money into their bank on a regular basis, they can learn first-hand how satisfying it is to save up for something special. And these days there are many cool styles outside of the traditional piggy bank to choose from.
2.) A Real Savings Account. If your child already has a physical piggy bank, it might be time to open a savings account for them. With BankFive’s Nickels Savings Account for Kids, children get their very own passbook so they can see their savings build with every deposit they make. A Nickels account also comes with a free stuffed animal of Nickels the Dog, BankFive’s furry, friendly mascot.
3.) Financial Board Games. Financial board games can introduce money-related topics in a fun and easy-to-understand way. They allow children to try different strategies with their money and see how their decisions impact their financial wellbeing during the game. There are many financial board games out there to choose from. Monopoly is one of the most well-known financially focused games on the market, and teaches kids about cashflow, investing, real estate, and taxes. The Allowance Game demonstrates the concepts of earning money, saving and spending, and making smart financial decisions. Money Bags helps children identify different coins and bills, total up cash, and practice making change. PayDay makes it fun for kids to learn about debt, paying bills, and investing. The Game of Life demonstrates how a sound education can impact future earning potential, and teaches children about college costs, real estate, budgeting, and retirement.
4.) Online Financial Learning Subscriptions. There are many online programs that teach financial literacy while making it fun and engaging for kids. MoneyTime Kids is one such option that teaches children how to prepare a budget, avoid debt, purchase a home, and more. The platform can be accessed by purchasing a one-year license or a monthly subscription. ABCYa is another popular option with tons of financially focused games for children. While many of ABCYa’s games can be played at no cost, a monthly or annual subscription allows for ad-free game playing, the ability to play on a mobile device, full-screen game play, and more. Kidvestors is another online subscription-based program that teaches kids about budgeting, saving, investing, taxes, and more.
5.) Financially Focused Books. While a thick financial textbook probably won’t be the highlight of the holiday season for most kids, there are many enjoyable children’s books that teach important financial skills. Some popular titles for elementary school children include Just Saving My Money by Mercer Mayer, Isabel’s Car Wash by Sheila Bair, and Bunny Money by Rosemary Wells. Books to consider for the middle school crowd include Project Startup by Heather Alexander, Laura D’Asaro, and Rose Wang, Millionaires for the Month by Stacy McAnulty, and The Lemonade War by Jacqueline Davis. High schoolers could benefit from titles such as I Want More Pizza by Steve Burkholder, The Money Club by Jasmine Brown, and How to Money by Jean Chatzky and Kathryn Tuggle. You may also consider gifting a budgeting notebook or journal so your child can put their financial learnings into action.
6.) Gift Cards and Debit Cards. Gift cards can be a great way for young children to learn about spending within a designated budget. Shopping with a gift card can be a teachable moment, giving a child the chance to review prices of different items, determine whether they can afford a specific purchase, and calculate how much money they’ll have left on the card after buying. For older children and tweens, a prepaid debit card can be a great introduction to responsible money management and can teach them the importance of keeping an eye on their account balance, using an ATM, and tracking their spending. If you have a teenager, you may consider helping them open a student checking account with a regular debit card. Getting some real-life money management experience in high school can be extremely beneficial in preparing teens for adulthood.
Choosing the right present can be overwhelming, especially for kids who seemingly have everything. But, by thinking outside of the box and giving a gift that promotes financial literacy this holiday season, you can help your child establish a solid financial foundation. Happy holidays!