When is the right time to help your child learn about money and saving? It’s a question many parents ask themselves, and one that has no definitive answer. Educating children about good money management doesn’t happen during one isolated conversation, but over time through answering questions, making comments in passing, and leading by example (kids are always watching, even when you might not realize it). But being the sole person responsible for imparting this wisdom can be a heavy weight to bear! That’s why NVE Bank supports the American Bankers Association (ABA) Foundation’s Teach Children to Save (TCTS) initiative.
The free national initiative organizes banker volunteers to help young people develop saving habits early on. Teach Children to Save Day is an annual awareness day during which bankers all over the country educate youth throughout their communities about the value of saving money. Participating bankers, including many from NVE Bank, visit schools, youth centers, after-school programs and other locations to share our knowledge. Our hope is that these lessons will inspire children to start young and save more! Educational activities focus on lessons in saving, earning interest, and determining needs versus wants. Since this program began in 1997, over 125,000 bankers have taught savings to more than 5 million students!
Teach Children to Save Day was celebrated April 20 this year, but volunteers from NVE’s 11 branches educated Bergen County students about good savings habits throughout the entire month, which is also Financial Literacy Month. NVE Bank branch managers and other staff visited various area schools including The Right Start Learning Center in Teaneck, Englewood on the Palisades Charter School, The Hillside School in Closter, and Smith Elementary School in Tenafly. Here are photos from just a few of our visits.
Visiting with students in the communities we serve is something the entire NVE team looks forward to each year, but financial education is a priority for us all year long, so it doesn’t stop there. As a community bank, NVE invests in various financial literacy programs through funding and other resources to ensure we are doing our part in creating a strong foundation for our younger generations. One example is Money Management 4 Kids, an innovative financial literacy program created by iPiggiBank. The goal of the program, designed for students in grades one through six, is to teach them how to manage their money through learning about responsibility, team work and life-long financial skills. Learn more about the program in our interview with the organizations founder and CEO.
Here are some of our favorite personal finance tips for children, from the American Bankers Association:
- Talk openly about money with your kids. Communicate your values and experiences with money. Encourage them to ask you questions and be prepared to answer them — even the tough ones.
- Explain the difference between needs and wants, the value in saving and budgeting, and the consequences of not doing so.
- Set up a chore chart and give your children an allowance for completing their tasks. Require them to save at least a small portion each week. The three jars method — one for spending, one for saving and one for charitable contributions — is a good way to impart a sense of responsibility.
- Be an example of a responsible money manager by paying bills on time, being a conscious spender and an active saver. Children tend to emulate their parents’ personal finance habits.
- Open up a savings account at your local bank for your children and take them with you to make deposits, so children can learn how to be hands-on in their money management.
It’s never too early to help your child learn about saving and managing money! Take a look at NVE’s savings products for details on our savings account options so you can set your child up to start saving now.
NVE Bank hosts and participates in various community service, fundraising and awareness events throughout the year. To learn more about NVE Bank’s products and services, visit our website, stop by one of our convenient neighborhood branches in Bergen County, or call 1-866-NVE BANK (683-2265) to speak with a branch associate.