12/18/2008 5:06:00 PM Holiday gift ideas help kids have fun learning to save
Courtesy photo
Courtesy photo
Christmastime can stretch pocketbooks, but it can also present the opportunity to find gifts that teach kids about money and saving. Will Hepburn, manager of The Kids Fund, the only local mutual fund, encourages parents to keep it light when they go shopping.
"Don't go overboard with education. You have to make learning about money fun for kids," he said. Even if the gift is more fun than educational, if you're getting a little learning in there, you're doing well."
The standard vehicle for saving in childhood - the piggy bank - has evolved since its appearance in the 14th century. Some piggy banks are pure fun - a search of Amazon.com revealed dozens of piggy banks ranging from talking pugs to decorate-your-own pigs to soccer and baseball banks.
A few banks specifically deal with the need for savings education.
Parents can buy the Fisher-Price Laugh and Learn: Learning Piggy Bank to give toddlers the chance to handle large plastic coins and develop an awareness of counting and money.
For older kids, a digital coin jar keeps a running count of coins they drop through the jar's lid, helping them see how loose change quickly adds up to big bucks. There are several brands available through area department and drug stores and through Amazon.com.
A more instructive spin on the piggy bank, the Moon Jar (www.moonjar.com) combines three colorful banks into one to help kids allocate their money into the categories of saving, spending and giving. Hepburn likes the Moon Jar because it helps kids divide and save their money as it comes in.
"When my son Matt, who's now grown, received gifts of money, a quarter of it went to gifts and donations, a quarter of it went to long-term savings and half of it he could spend," Hepburn said. "Whether it's earned money or gift money, a portion should be saved."
Hepburn says his own creation, The Kids Fund, is suitable for all ages. An active investment manager, he created the all-weather fund to help kids save for college and to learn about investing. He has stocked the Fund's web site, www.thekidsfund.com with games and activities and the Fund's holdings with companies kids know and love, like Hasbro and McDonald's.
"There's no better time than Christmas to invest in a gift that helps kids learn how to save," he said.
