Using Savings to Teach Your Children Financial Responsibility

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Can a savings account help my children learn about money?

Using Savings to Teach Your Children Financial Responsibility

It can be very difficult to find ways to interest your children in financial responsibility. With all the new toys and video games out there, your kids are probably more tempted to spend money on toys and gadgets than to put it into a savings account and save it for some mystical time that seems like it will never arrive. But savings accounts offer something that will eventually really entice your kids--the combination of accumulation and growth.

If you spend time with your child and balance their savings book, he or she will watch their savings grow in several ways. First, as they deposit money into their account over the years, it will naturally grow. On top of that, the savings rates in your child's account will add interest to their account and will show them how money can make even more money when it's invested. This combination of growth factors might help your children look forward to saving money.

   

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