They are always getting checks for birthdays and Christmas, but they also get tons of toys, clothes, games, etc. The last thing I want them to do is waste their money to buy more toys!
I take all checks they receive and deposit them into their own savings accounts. Every time the accounts reach $500, I buy them a 5-year CD. So far they each have two of them. I figure that by the time the CDs mature they will be teenagers and will really want the money for other things like going out with their friends, a car and/or car expenses, more expensive clothes/shoes than I'm willing to buy, etc. This way they will have the money when they will really want/need it.
The totals for them right now are:
DS1:
Savings: $278.64
CD #1: $573.80
CD #2: $554.44
DS2:
Savings: $135.16
CD #1: $566.74
CD #2: $507.76
They both also get an allowance (though lately I haven't given them one because they haven't been earning it...they will be over the summer). They can spend 50% of it on anything they want, 25% has to be saved, and 25% is for charity (right now it's not much so we save it up and when they have a charity event at school like St. Jude's they will give it then...I'll give them more options as they get older).
Though I take care of and track all their money in my Quicken, it is not in my totals because it is their money. Quicken allows me to see and monitor the accounts and check them off to not be included in my totals.
2 comments:
Great hob saving their money and keeping track of it! We have an ING sub-account for our daughter that her present money goes into. She loves seeing it go up every month, even if the interest is only a few cents.
Thanks for the comment!
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