How Early Should We Let The Kids Start Banking Their Savings?

i have five children - and they each have a savings account already. we start opening their accounts, even before they are 1 year old. even when they were newborn / babies, they're already receiving 'cash gifts' from visitors, or relatives when they visited us, or when we go visiting - so, the monies that they received - we opened a 'trustee-account'. every year, during Eid Celebrations, New Years, etc.. they'll each receive 'money packets' or 'cash gifts', and after letting them keep some for their 'free expenditure', we'll keep the balance in their accounts + normally we would add a few dollar ourselves.. apart from that - we also tell to keep some money from their daily lunch-money (for school) - we force them to keep at least 10 cents daily - but they normally keep more.. they seem to 'enjoy' saving their money... and everytime we've deposited the monies into their account - we'll show them the account statements (recordbook).. and it always fun to see them comparing their savings..

I think kids should have their savings as early as grade school. They should be saving up and learning how to do it so they'll have an idea in the future on how costly it is to spend money and saving up on important things.

As early as they know what money is... children should know how to save money so they will be taught early on that money is not picked up easily and that they should know how to save.

My nephews and nieces had savings accounts started up by their folks right after they were born. They would get money for Birthdays and Christmas from me and others. The money always went into their savings. Since most of my neices and nephews are grown up I do not know how they used that money. I do know my 2 great nephews and great niece have savings accounts just for college! I love that idea! College is so expensive and I think this is better then a parent trying to pay for all of it when the child is ready for college! My advice is start early as possible! The earlier they do it the better they learn! Also try to be a good role model with your kids! Kids tend to imate parents!

When I was a kid, I used to be so excited when my parents takes me and siblings to the bank to deposit the money that we got during Christmas, or birthdays or graduations. It was just an awesome feeling for me, and I used to stare at my passbook for hours because it gives me so much pride that I have savings in the bank at such a young age. I guess it's never early to teach them how to save, and that's what my parents did to us, and that's definitely what I'll be teaching my future children.

I grew up with a dad who always, like always, teaches us with financial literacy. One of his words of wisdom that I'll never forget is when he said "Saving and banking your money is not enough given the world's financial status today. Children, at the youngest age possible, as early as they understand should be taught not only to save but also how to invest." ...So, at the age of 13 I've been saving already. And at the age of 18, I already started investing. And so far, compound interest has been so gooood to me! =]

I have read on yahoo!, there was an article before that teachign kids money and savings can start as early as long as they can already understand. I have a 4 and 6 year old who can already understand and i do start teaching them the importance of money and how to save money. i also do not have any piggy banks because the ones being sold now are easily opened!

I'm saving his money in his piggy bank for now, my son is only 5 months old so there is still a long ways to go before he knows the money thing. I think I will bank his money when I think the piggy bank has no more room for his money anymore.

It is never too early to teach our children about the importance of saving money. Allowing children to have a savings account at an early age teaches them the value of the money they are saving. Spending money is fun for them too, but saving gives them something to achieve for their futures.

You can open a college fund, or a 529 plans for your kids when they reach their age to college. You can imagine how expensive it will be to go to college right now. So, it will be a better way to open a fund for them, and or a family saving account might be all right too. Anything that is tax - free should be great.

The earlier the better. I had a bank account when I was 6 or 7. My mom opened up an account for me and my sister. When they changed the rules for the banking, we switched to a credit union. I would put money in a few times a year that I got from grandma for vacuuming her house. It wasn't much, but it does add up. I saved only 15.00 a year, but at least I had a little something. Sometimes parents would add to it when they could, and it gained interest. I was not allowed to touch the money until I was 18. With interest, I had over $300.00 in my account by the time I was 18. It is good to teach your children young so they develop good habits.

As soon as practicable, kids should be taught the basic economic concepts. They must know what constitute income and how that is utilised. There is the large component of consumption and the balance for savings or investment. Since not many will have such large amount for investment, the only viable option is to save until that amount is large enough to go into unit trusts, stocks and properties. So help the kids by opening savings accounts for them when they are babies. That is my advice.

Its never to early to start saving for kids even a small savings account as a baby. They will appreciate later on. If the kids are older have them put a small percentage of their allowance in savings.