Progressive's Money Saving Tips for Children This Summer

Term time has come to an end and school, as they say, is out for summer. The summer holidays are (usually!) free from busy schedules and nightly homework, giving families more time to focus on what matters most: spending quality time together. Having a bit of extra time means that Summer can also be a good opportunity to start a family conversation around the importance of saving.

Money management is very much front of mind in 2021, as people look to better control their finances coming out of lockdown. It is this renewed perspective that can help spark life lessons on budgeting and saving goals for children. Teaching children the value of money doesn’t have to be boring, either and there are lots of games and other fun ways you can show them the benefits of saving.

At Progressive we have compiled the following money saving tips to teach children this summer which can help build good financial habits from an early age.

Set a Good Example

You’ve no doubt heard the saying ‘money doesn’t grow on trees’. Maybe you’ve even said it yourself! The fundamental idea rings true: money is a limited resource and should be treated with care. Let children see first-hand the value of saving by putting some money away yourself, even if it’s just spare change in a jar. Involve your children from the outset by taking them shopping to purchase a piggy bank.  It’s important to acknowledge that saving money isn’t always easy, but it is worth it, and when it comes to spending, help them distinguish

between something they want, and something they need so that they can prioritise their spending when it is time to buy certain items.

Summer Wishlist

Ask your children to jot down three things they would like to do this summer, figure out how much they will cost and set a target to save up the money for each.. Establishing a savings goal can help children appreciate the importance of budgeting, and how putting a little away every week can bring that magical day trip, or video game, or item of clothing that little bit closer. You could even set a combined savings goal for a family day out and print out a wall chart to visualise your savings journey. 

Household Chores

Let us explain! Yes, the mere mention of ‘household chores’ is enough to make anyone puff out their cheeks, but those routine tasks can still be a good way to show children how hard work leads to rewards. In summertime, it’s a good excuse to spend more time outdoors, as there are more chores to do such as gardens to cut and cars to be washed.

(Digital) Boot Sale

You don’t need a vehicle to host your own boot sale anymore and you can sell items you no longer need on safe and secure platforms from the comfort of your own home. With a little guidance, a summer clear-out can give older children an opportunity to think about wants and needs, and perhaps be more sensible about future purchases.

Weekly Allowance

Pocket money is a time-honoured tradition when it comes to financial literacy. With a weekly allowance, children are tasked with living within their means, which introduces them to the basics of affordability and how long-term savings – even if it’s just a few weeks – can bring them closer to bigger goals. Another fun way to visualise their savings journey is to have them write down their purchases each day and add them up by the end of the week. Doing so will let children see the benefits of budgeting, and again help them identify the difference between wants and needs.

Create a Place to Save

A physical safe haven for their pocket money. It can be as simple as a decorative money box that they keep under the bed, but by creating a place that is conducive to saving, younger children will be able to see their money grow. It’s another great life lesson and will help to form an early habit of sacrificing a little today for a better tomorrow.  

From Junior ISAs to Start Up Children’s Savings, at Progressive we have a range of accounts designed to help you build a nest egg for your kids: https://theprogressive.com/savings/childrens