Starting the conversation is the first step. Children are naturally curious, even about topics as mundane as saving money. The sooner you start involving children in this conversation, the sooner they can practice managing their finances.

Children can find it very difficult to grasp the concept of not spending money as soon as they receive it. Adults should encourage the idea of a "cooling off" period with children. Letting children know that money can be saved and doesn’t have to be spent is encouraged. If a child is never told to save, they are less likely to manage their money wisely.

It’s important to note that conversations about saving money should remain positive. Stressing out a child, or only explaining the negatives of not saving, can paint a scary picture about managing money. For a youngster, this will create an unpleasant stigma surrounding their finances. Keep the tone light and educational to avoid any negative feelings about saving money. And remember, it’s important to stay patient during these conversations. Finances are not a simple topic, it may take a little more time for a child to grasp.

It may be a good idea to think it as a timeline of the education of money management for a child. Their research found that the impact of a one-hour financial lesson wears off after about five months. This is why it is important to plan ahead with children about the money they can anticipate receiving, and what to do once they receive it. Birthdays, holiday gifts, and weekly allowances all bring up opportunities for education and saving.

Start Good Habits Young

The habits we learn as children often follow us to adulthood. Financial responsibility is no exception to this. Giving children the responsibility of managing their money will help them develop positive habits at a young age. It can even be fun!

Here at American National, we offer a Kid's Club Savings Account to make saving fun for anyone 12 and under. Every account comes with an AMNB Kid’s Club Membership card, a Free Homer the Pig Piggy Bank so they can collect their money ahead of time, a savings activity book, and savings passbook to track their savings.

There are many perks to helping a child start to save their money. We are committed to having a positive influence on our community, and getting a child set up with a savings account is something we enjoy and encourage. Bring them in with $10 and they’ll have access to our online banking resources, unlimited deposits & in-person withdrawals, and no worries about service fees. Plus with coin counting machines at many of our branches, they’ll enjoy bringing their piggy banks in and watching their coins add up.