Get into the savings habit
build your own financial
and play an active role in building your financial future. Its easy to get started.
And its even easier for you to team up with your parents to plan for the future.
1. Open a savings account.
It doesnt matter how much you start out with, or how much
you save. Whats important is that you
save on a regular basis. Once a week is
and youll be surprised how quickly your money grows.
Your savings account can be at a local bank or financial
institution, or you can save through the Save For America at school
save at home with a piggy bank! Whats
important is that you get into the habit of saving a little bit every week. Its a habit that will last you all your
2. Buy a U.S. Savings Bond.
Once youve started the savings habit, think about saving
for the long term
and watch your money grow. A U.S. Savings Bond can be purchased for as little as $25
and grow to be
worth $50 in a number of years. Its a
great way to save for your education. Often, a Savings Bond will grow faster than a bank savings account. U.S.
Savings Bonds are guaranteed by the government, which makes them a very safe
investment. And you and your parents can buy U.S. Savings Bonds together.
3. Invest in stock with 401Kidz.
Once youve gotten in the habit of saving and are saving for
the long term with U.S. Savings Bonds, you can learn about investing in the
stock market. You and your parents can
open a custodial brokerage account through 401Kidz.com and purchase small,
fractional shares of companies on a monthly basis. Then watch the performance of your investment
because these are
real shares of real companies. Fractional shares are a great opportunity to learn about companies and
our economy, because you dont have to make a large investment to get
started. However, there is risk
involved with investing in the stock market stocks can go down as well as up
so you and your parents should decide together which stocks to purchase.
4. Make plans for your money.
Its a lot easier to save if you have a savings goal,
whether youre saving for the holidays next year
or a car when you grow up
or big plans for the future. One of the
best goals is saving for your college education, because banking institutions
and your state and federal government offer special savings opportunities for
children saving for college
and make it easy for your parents and grandparents
to help you along the way.