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How My Twins Started Saving at Age Five

August 10th, 2013 at 09:04 am

My twin boys are now eight years. When they were five years, I made four boxes for them .The two were for spending money and the other two were for saving.
I needed them to understand the value of money and the importance of saving so that they do not end up in debts as I once ended up with debts.
I would tell them to take their plates or cups in the kitchen after eating and to clean up the table. I would give then $2 a week so that they spend $1.50 and save 50 cents.
When they turned 6 years, I set some more chores for them. They could help with house cleaning with meat eight years now, they also help granny to clean her room.
I now give them $2.50 per week. They spend $1.50; they save 50 cents and donate 50 cents in church.
By simple arithmetic, each one has got now $ 780 in savings in three years. That is the power of saving.
When they need something, we discuss how much they will contribute on it and how much I will add on. These are the advantages I have realized:
1.They now know that you earn money and you are not just given money. Some parents give money to children if they get good grades and that is very fine. I cannot use that method as my boys are twins in the same grade and one is very good in his studies and one is a bit poor. It will cause dangerous competition.
2.It has made them to develop some life skills.
3.It has taught them to manage and buy from their money
4.They know that we have to donate money to Church.
5.They have learned to make decisions with their own money.
6.Since they are helping granny to clean her room, they have become even closer to their granny.
7.It has made me to be open to them about the importance of saving. Please note that they are still being guided by me to make sure that they save that money.
8.It has made me realize that one is very good with wanting to save his money and the other one has to be guided more as he is a spender.

The disadvantage is that they need far more guidance in spending so that they do not end up just buying junk food including a lot of sweets.

1 Responses to “How My Twins Started Saving at Age Five”

  1. Buendia Says:

    Love this - my daughter is 8 - she has a place to put her allowance and a helping jar for charity (her choice of charity). Mine is definitely a saver (she never really wants anything, just library books). She sometimes spends a quarter on sweets at the pool (she's learned that tootsie roll pops are a deal at 25 cents). We're going to go to the bank and open an account for her. I think it's so important to teach these things to kids - and to talk openly about money with them rather than having it be a big secret that they have to figure out as adults! Your kids are lucky to have you as a mom!

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