We understand. Money can be tight from time to time. It can be hard to spare any for the luxurious spends we may wish to have, among many other personal considerations we truly desire. Managing a household is never easy, no matter how you look at it. However, sometimes there are matters that supercede everything else. We’d say that saving for your child in the long-term is one of those. Of course, long term savings should never replace short term needs, which can sound odd if you’ve attended any budgeting courses. However, if you have some money to spend, sometimes placing it aside for your child’s future can be worthwhile.
Let’s say you can save $10 a week to put into your child’s savings account, or into a Gifts for Kids goal setting program. Over the course of eighteen years, you’ll nearly have ten thousand dollars to gift them, or to drip them in stages. But what life events should you most prioritize? Consider the following:
It might be that when your children come of age, they’ll really appreciate having the means to get around. Saving for a future vehicle is more than just letting them indulge and travel the moment they have acquired their license. It might mean they are able to purchase a much better and safer car than they might have done otherwise, or save them many thousands in repairs when purchasing third, fourth or fifth hand. A vehicle can help your growing teenager travel to their first job, to gain a sense of autonomy and to begin to build their confidence on the road. While you may not purchase an entire vehicle with your savings, nor should you purchase something of immediate luxury, it can be worthwhile to save for a matter like this, as it will give them the leg-up in freedom they need.
Of course, college could be considered ridiculously expensive in the present day, and perhaps degrees are offering diminishing returns right now. However, there’s no reason as to why a specialist apprentice course, an online degree or many other forms of important qualification cannot be seen as extremely useful, and saving for this can help your child avoid predatory loans or debts in the long term. Providing this opportunity for them since childhood might enable them to take a path you weren’t afforded, and that’s how you know you’ve succeeded well as a parent. However, remember that just because you’ve saved for college, it doesn’t mean your child will attend to do well there. Be sure to use your best intent when it comes to revealing the funds to them, and tailor your advice towards the person they are today, not the person you thought they might become.
It can pay off to gift your child some money to help them experience the world before they head to a job or further education. Helping them pay somewhat for an experience volunteering in the Congo, or perhaps traveling around Europe can help enrich them as a person, begin to build their world-traveling confidence and help them gain a larger appreciation and perspective for the world they occupy.
With these tips, saving for your child now (no matter the amount,) should be considered intensely motivational.