Using a Savings Account to Teach Your Children About Finances

July 5, 2022 |
Article | 5 min
| Personal Insights

Teach your kids about saving money

Money management is a complicated subject even adults have trouble mastering. So, it’s understandable that the prospect of teaching your kids about money might not be your favorite parental to-do. Start simply with a simple savings account to teach your kids the fundamentals of saving money.

Setup an AccountTeach your kids about saving money with a CD

Speak with a Personal Banker who will walk you and your child through the process of opening a savings account or certificate of deposit. Seeing their name on the account will provide your child with a sense of ownership over their money and incentivize their willingness to make regular deposits.

A joint savings account provides a safe training ground for your kids to learn about finances; the fundamental lessons they learn about saving with you will serve them well when it’s time for their own account.

Establish Expectations

Telling your child to save money is too general of a statement. You need to help them implement a savings practice. If they receive money for their birthday or a holiday or earn an allowance from doing chores around the house or money from a part-time job, they should put a portion of their cash in their savings account. This regular practice will help their bottom line grow and establish good money habits.

Give Your Child Goals

Saving for the sake of saving won’t exactly excite your child about managing money. Working toward the purchase of a new toy, game or activity, though, will make them feel that their savings efforts are worth it and teach them a valuable life lesson — good things come to those who wait (and work hard).

If they know what it is they want to save for, help them break down their goals into manageable bites. For example, if they want to buy a $50 video game and they get a $10 allowance each week, help them figure out how long it will take to reach that goal, based on their savings rate.

Keep it Top of Mind

Just as your child grows, their comprehension about money will, too. Keep the money lessons ongoing, altering them to align with your child’s age, ability and interests. By establishing open communication about money, saving and investing (when the time is right) with your child, you’ll help them master their future financial independence.

Save By Example

You are your child’s first and constant teacher — there’s no better way to teach than by setting a financially-sound example. Getting your emergency fund in shape, opening a 529 savings account, or simply increasing your 401(k) plan contributions are all steps that you can take to encourage saving as a family activity.

Start the money conversation early and keep it consistent to help your child learn to be a saver and a lifelong money-management master.

Regular Savings Account 
Low minimum balance with a variable interest rate.


Regular Savings Account

Rocky Mountain Bank, a division of HTLF Bank Mobile App 
Download the app to view balances, transfer funds, deposit checks, pay bills, and more.


Mobile Banking App