The Update

Teaching Kids the Importance of Saving

Teaching children about money at an early age is one of the most valuable lessons parents and caregivers can offer. While kids may not immediately understand bills, budgets, or long-term financial goals, learning how to save sets the foundation for smart money habits that last a lifetime. By helping children understand the value of money, develop financial responsibility, establish healthy habits, and promote financial independence, families can empower the next generation to make confident and informed financial decisions.

Understand the Value of Money

Learning to save helps kids understand that money is limited and must be managed wisely. When children receive allowance, birthday money, or earnings from small chores, saving part of that money teaches them that every dollar has a purpose. Instead of seeing money as something that appears and disappears, children begin to recognize the effort behind earning it and the choices involved in spending it. This awareness encourages thoughtful decision-making and helps children appreciate the difference between wants and needs. Over time, this understanding leads to stronger financial awareness and smarter money choices in adulthood.

Developing Financial Responsibility

Opening a savings account for your child provides a hands-on opportunity to learn about budgeting and responsibility. A savings account allows kids to track deposits, watch their balance grow, and set simple savings goals. Whether they’re saving for a toy, a game, or a future purchase, children learn patience and planning. Parents can involve their kids in conversations about saving regularly, making deposits, and avoiding impulsive spending. These experiences help children develop accountability and confidence with money, creating a strong foundation for lifelong financial responsibility.

Establish Healthy Financial Habits

Saving as a family reinforces positive financial behaviors and shows children that good money habits are a shared priority. When parents talk openly about saving for goals, budgeting for expenses, and making mindful spending choices, kids learn by example. Family savings goals—such as planning a trip, purchasing something special, or preparing for emergencies—help children understand teamwork and consistency. Establishing healthy habits early reduces the likelihood of financial stress later in life and promotes long-term financial wellness for the entire household.

Promote Financial Independence

Teaching kids about money early helps prepare them for independence as they grow older. Children who understand saving are more likely to manage their own finances confidently as teens and adults. They learn how to plan ahead, avoid unnecessary debt, and make informed decisions. Financial independence doesn’t happen overnight, but early lessons give kids the tools they need to succeed. By empowering children with financial knowledge, families help them build confidence, resilience, and the ability to navigate real-world financial responsibilities.

In the end, teaching kids to save is about more than money—it’s about preparing them for a secure and confident future.

RGCU Accounts Designed for Teens

Success doesn’t have to wait. Start making the most of your money now. The CU Succeed account is specifically designed for 13–17 year olds, and lets you save and spend securely.