Monday, July 30th, 2012
According to KidWorth, the average kid receives $25,000 in gifts and cash before they turn 18. What happens to that money? If kids should have a nice nest egg by the time they turn 18, what’s happening?
It can be hard to teach kids the importance of saving especially when they feel like they must have the most recent toy or video game that all their friends do. These days many websites provide concrete examples that make it easier to teach kids the value of a dollar. Here are 2 favorites that will help your kids achieve a sense of financial literacy:
FamZoo— FamZoo is a family friendly site that allows children to learn about the value of money through a virtual bank account that is tied to real money. Founded by Bill Dwight, father of 5, the site contains a wealth of easy to use online tools for parents to use to create child accounts to manage allowances, set spending limits, track savings goals, and even add or debit accounts for chores with the goal of building financial, social and organizational habits around money in a safe and friendly environment for kids of all ages.
It only takes a few minutes to create your family’s FamZoo account and all parent and child accounts. The built in “How Do I” button is extremely helpful if you feel stuck or have questions about what to do next.
KidWorth— Kidworth is a free site that is designed to “build wealth, not waste” through a coordinated approach to savings, spending, and sharing. It allows parents to work with their children to set, track, and share goals while enabling gift givers to contribute to a child’s goal of saving for an activity of their choice. The site is also designed to teach and empower a generation of children to build wealth through saving, investing and smart spending.
Parents open a free Kidworth account and work with their children to create goals that are part of their portfolio. The portfolio can include anything from saving for products, long term savings, or charitable gifts using monetary gifts, allowance, and earnings. Kids use their own efforts, and help from their support network, to save and spend wisely.
Cute cheerful little girl with paper money via Shutterstock