When it comes to managing money, most people know the simple money management tips. Families usually have a checking account for essentials, an emergency fund, and potentially an education fund for the children.
But not every family has a family savings account! And that can mean missing out on a great way to teach children about money management, and pay for future family expenses.
A family savings account is the perfect way to save for larger purchases that benefit the whole family, like that new television for the theatre room, or for family experiences, like a big vacation.
Wondering how to start building up your family savings account? Here are five ways to save a little more every day:
1. Plan Meals
One of the biggest ways that families spend frivolously is eating out. On average, a planned meal at home costs between two to five dollars per serving. Even at a budget fast-food restaurant, the cost of a meal is usually five to eight dollars per person.
A planned meal is not only cheaper, but it is usually healthier as well. That means eating at home can help your savings AND your health, which both pay off in the long run.
Of course, it’s fine to have a fun night out at a restaurant every once in a while. But make it an occasional treat that you add into your budget, rather than an everyday thing!
2. Create Family Goals
A family that saves together, stays together…it may sound silly, but it’s true!
Setting goals and working towards them as a family unit creates a sense of camaraderie and teamwork. And that’s just as true when working towards a financial goal like building your family savings account!
Start by having everyone contribute their loose change by tossing it into a family savings jar. Set a goal of reaching a certain amount by a specific date, and plan a fun family activity when you meet your goal!
3. Try Automatic Savings
For those who struggle with budgeting and properly allocating savings before their paycheck has been spent, experts suggest trying an automatic savings plan. Have the money automatically taken out of your paycheck before you even see it.
For some, just having the money set aside in a different account is enough to keep their hands off of it. For others, another precautionary measure could be to have it sent to an account that cannot be easily accessed.
If you need a little extra restraint, consider a joint account that requires multiple family members’ signatures to access, or an account that requires you to visit the bank to withdraw money.
4. Sell and Shop Second-Hand
Between holidays, birthdays, and gifts from friends and family, families can sometimes end up adding a lot of new stuff to their house pretty frequently.
And often, that means older items are packed away, or left in the closet unused. So, consider cashing in on your unwanted items and clearing out the house at the same time by selling them to a second-hand shop.
Or, if you’d rather get rid of the clutter from the comfort of your own home, list the items on an online buy-and-sell site or on Facebook marketplace and let potential buyers come to you.
No matter which method you prefer, you may also want to check out some of the items available from others as well! You may find some great treasures at bargain prices!
5. Get Creative
Remember that you don’t always have to go out or spend a lot of money to have fun as a family! Get creative and try different, free thing…either in the house or around the neighborhood.
Some fun suggestions include:
- Game or movie night at home
- Cook together trying new recipes
- Go to the park and run a makeshift obstacle course
- Read books together from the library
No matter how you decide to save money for your family savings account, make sure that you actually save it! Calculate how much you would normally have spent eating out or going to the movies, then add that money to your account.
And don’t forget to also add the profits from selling your unused items! You may be amazed by how quickly your family savings account grows.
No matter what goal you’ve set for the money in your account, you’ll all love helping to reach it together!