Setting a side a certain amount each month can be a chore. Likewise, there will be some months that saving simply isn’t in the budget. But starting a savings plan for your preschooler is something that you seriously need to think about. Once your preschooler starts going to school, time will fly. In a blink, they will be ready for college. The key to having enough money so they can continue their college career is to start early.
The first thing to do is to start by evaluating your budget. In the beginning, you don’t have to stash a lot away. Stick with what you personally can afford. A few bucks at this stage will eventually add up.
Make an appointment with your financial counselor. Don’t worry if you can’t afford to hire one. Your bank actually has an adviser you can consult for advice in saving for college. Just make sure to call ahead to see if they have time available. The additional benefit of using your bank’s adviser is that everything you need to get set up can usually be done that day.
Consider setting up automatic direct deposit to your child’s savings account. The idea is that if you don’t see the money that it won’t get spent. This is a great idea for busy parents of preschoolers.
Get your preschooler directly involved in their own savings plan. Teaching them to handle money is a life skill that they need for the future. While it might seem like a waste of time to plan a trip to the bank, your preschooler will still get a kick out of going there. Physically handing over their money to be saved will reinforce the lesson much better than showing them an online transfer.
Remember to safeguard your preschooler’s information. Once you start doing things such as opening a savings account in their name, their information becomes susceptible. So you want to make certain that you protect their information as well as your own.
At this point, your preschooler still has time to build up their savings for the future with your help. It may take a few sacrifices on your part and a lot of planning, but a future savings goal for them is achievable. Get advice when you need it and include them in these money lessons. When it is time for college or leaving home, their savings will come in handy.