It’s a wise decision to teach our youngsters to save their money. Today, many are financially struggling. Hence, even the smallest amount of money saved in the present time could benefit them in the future. It could be extra beneficial if they open new account for internet banking Malaysia to make their transactions more accessible. This is because they could transfer money from their main account to their savings account. Read more to find out the reasons why our youths should have their own savings account.
- Instill the habit
According to studies, a habit is formed after 18 to 254 days. Thus by teaching our children the importance of saving money and instilling the habit properly, it becomes a healthy habit. Start slowly by getting them a piggy bank, and teach them to put as low as 10 cents into it. If it becomes a regular activity, then it would slowly become a habit. This habit is able to put them in excellent financial stead once they’ve reached adulthood.
- Teach the value of money
There’s an expression that we’re familiar with – “money doesn’t grow on trees”. However, many wouldn’t recognize the importance of this expression once they’ve truly experienced hardship. Children, wouldn’t understand it because their parents protect them from it. Hence, by opening a saving account, your children would start to recognize the value of money. Parents can start by transferring money on their birthdays, festivities, celebrations, and many more. As children observe their balance increase, they’d start wanting to save more.
- Spending options
Opening a saving account could also foster responsibility in our children. Instead of them asking you for the items they want, they have the freedom to spend whatever they want with their money. Even the toy that they’ve always wanted in a store and the ice cream that they have been asking for. Thus, they will learn that they have spending options to consider. Remind them that once they spend, their money is gone.
- Teach them responsibility
Setting up a savings account for your kids can help them learn to be more frugal with their money. Because it’s their own money, this is the case. Even for individuals who are working, saving money takes a lot of effort. Allowing them to keep their own money, no matter how little, will give them the impression that they are responsible children.
- Encourage saving excitement
You’re ecstatic when your paycheck arrives at the end of the month. For kids, the same applies. They are inspired to save more when they notice that they have money in their bank account and are aware that they can spend it. Children’s saving behaviors may be strengthened if adults encourage them to save more.