The Best Money-Oriented Presents for Kids

Every year, you ask your kids, “What do you want for the holidays?” and every year, they probably give you a laundry list of toys and other items that they’ll want the new versions of the following year. Rather than getting them gifts that they’ll get tired of in a few months, give them something they can benefit from in the long-term. These money-oriented presents are the perfect way to start your child’s financial journey out right.

A Piggy Bank

These are great for even the smallest of children. A piggy bank helps them start learning to save in a fun way. Teach your children to “feed” their piggy every time someone gives them a little bit of money. (You might also want to choose a plastic piggy bank over a ceramic or glass one so you don’t have to hurt the piggy to get the money out later on.)

Saving Bonds

While these may not seem as popular as they did years ago, saving bonds are a great way to teach your children about compounding interest and long-term investments. They offer a small range of interest rates and are typically exempt from local and state taxes and potentially federal tax if used towards college tuition. Plus, you can now use your tax refund to buy a savings bond for your child or grandchild by checking a box on your return form — so it’s even easier to get one!

529 Savings Plans

While this isn’t something your child will be able to use right away, it’s something they’ll definitely thank you for when they start applying to colleges. Used only for education specific expenses, your child won’t be able to blow the money on a new car but can use it to cover his or her room and board at school. In terms of giving them as a gift, print out a certificate of the account and wrap it with a hat or shirt from a school you may want your child to go to.

At American Investment Planners LLC, we make it a priority to help you prepare for the best financial future possible. From savings bonds  to 529 savings plans, we’re here to help with anything you may need. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.