It’s the classic scenario, children get their Christmas money and then before you know it, it’s all gone!
Roosterbank is designed to help children understand the value of money through saving and spending responsibly and there is no better time to kick the saving regime up a gear than at Christmas! So here are some of our top tips for getting the most out of Roosterbank and saving:
Get your buckets in order.
Before any Christmas envelopes have even been opened, having a chat about a percentage that should be saved is a good idea. Rather than telling them they have to save all their cash, try encouraging them to split it between their ‘Wallet’ and ‘Safe’. You can read more on the Wallet and Safe here. You can chat to them about why it’s important to keep part of their pocket money saved (for a rainy day, for a holiday, for university, to look after their parents when you retire . If you ask kids what a fair amount to save is, and then negotiate from this point, they will feel a greater responsibility to putting this money aside.
Make sure children have a high rate savings account
We regularly update our Children’s Savings tables, with the latest rates for Junior ISAs and Children’s Savings Accounts. Most parents we speak to find that having a savings account and Roosterbank gives children the opportunity to visualize how much they need to save to hit a target – and when they reach that target you can transfer it across to their savings account.
Set a savings target for the next month
After working out how much of a child’s Christmas money will be saved, set a target for them to reach over the next month or so. This gives kids something to aim for and will keep them focused on reaching this goal. If you have the Family Premium Membership Account, you can simply login and set how much they need to save for in their safe. Read more on that here >
Give children a pocket money incentive for the New Year
The New Year is a good time to help children establish a routine to build good money habits. This could be by re-evaluating how and what they receive pocket money for, and helping them to set saving targets. We find that many Roosterbank parents give children incentives to reach targets such as a boost for reaching a target. That could be by offering to top-ups their savings if they reach a target or an extra packet of sweets when they get there! Remember that we also award kids with Roosties the more they save, which they can then use to get prizes! Read more on Roostie Redemption here >
At the end of the day, as a parent you want children to feel empowered and responsible for their money, by instilling good money habits. Learning to save is a crucial part of this process and the above tips will help children save and spend responsibly.