DLTK's Crafts for Kids
Saving Money with Penny the Piggy Bank

by Darren Guenther, CPA

Hi there, fellow parents! I wanted to share my journey in teaching my kids about saving money, and how our adorable piggy bank, Penny, became a vital part of this learning process. I've always believed that it's essential to start teaching our little ones about saving money early on, and I'm excited to share some of the strategies that worked for our family.

The Importance of Saving

One of the first things I realized was that it's crucial to explain to our kids why saving is essential. So, I sat down with my children and talked about how saving money can help them achieve their goals and provide a safety net for emergencies. We discussed how making smart financial decisions now can set them up for success in the future.

Setting Goals (Short-Term and Long-Term)

Next, we moved on to setting goals. I encouraged my kids to think about things they wanted to save up for, both in the short-term (like a new toy) and the long-term (like a special trip or a big-ticket item). We talked about the importance of having a plan and setting realistic targets. Together, we created a list of their savings goals, and they even drew some cute pictures to visualize what they were working towards.

Different Saving Options (Piggy Banks, Savings Accounts)

When it came to choosing how to save their money, we explored different options. We started with the classic piggy bank - our beloved Penny. Penny became a fun and tangible way for my kids to watch their savings grow. We also talked about savings accounts and how they work, and eventually opened accounts for each of my kids at our local bank. This way, they could learn about interest and experience the excitement of watching their money grow over time.

Celebrating Milestones

As my children reached their savings goals, we made sure to celebrate their achievements. Whether it was finally having enough money to buy that toy they'd been eyeing for months or reaching a specific dollar amount in their savings account, we acknowledged their hard work and dedication. These celebrations not only reinforced the importance of saving but also helped to build their confidence and motivation to continue saving for their future goals.