My savings account balance has never been very large. It seems like I always need the money for something. So instead of saving and pulling it out when we need it, we just spend it as we need it. Probably not a very smart thing to do.
I think having a savings account that you set up and put money in from of each paycheck is a smart thing to do. I want to instill this in my children so that they get used to having something saved up. They need to learn that you save your money when you want something until you have enough money to buy it. You don’t just get everything you want the second you see it.
There is a huge sense of entitlement in our day and age. I want something so therefore it should be mine. That’s just not the way things work. You have to work hard, save up and when you can afford the things you want, then you can buy.
Each of our kids earns marbles for the chores they do. Once the marble jar is full, they get $20. The problem is, is that they immediately want to spend it. Usually on something frivolous! I like the idea of the piggy bank shown in the picture above. Then they have a little bit to spend, some to invest, some to save and some to donate.
So how do you save? Do you have a savings account that you regularly put money into? And how do you teach your kids the importance of having a savings?