Get Your Kids Saving With Pinkfong And Baby Shark
In partnership with
You want the best for your kids. Besides providing them with the best education and helping them develop their character, it is also important that kids learn about the importance and value of money when young. This is a crucial life skill that can set them up for success as they grow into financially savvy adults. That’s a win for you, too!
But teaching young children about money is easier said than done. How do you get them to understand an abstract concept like money while keeping their interest? Here are a few ways.
Introduce savings goals to your child
Learning to save is the foundation of great financial habits. But simply telling your child that it’s important to save won’t work if they can’t see how it will pay off. Instead, motivate them by helping them set short-term goals, such as saving for a new toy. You can tell them, for example, that keeping RM10 a week means being able to buy that RM50 toy they want in five weeks.
Young children may not easily grasp the concept of having money in the bank, as they can’t see where it goes. Having something that they can easily visualise – or better yet, physically hold on to – can help them understand the concept of savings. Here’s where a passbook comes in handy. Recording their savings in a passbook allows children to visualise how much they’re saving and spending and even help them build crucial math skills.
When you open an Alliance Buddy or Junior Smart Saver-i Account, you’ll get a limited edition Pinkfong Passbook. Suppose you are a parent with young kids. In that case, it’s almost certain that the Baby Shark song has been part of your child’s early growing years along with Pinkfong, the children’s educational brand behind it. Giving your child a passbook will add excitement and interest to saving money.
Show them how money compounds
How do you teach kids the concept of compound interest? Here’s a simple analogy.
Saving money is just like planting a seed and caring for it. The longer you save it in the bank, the more your money will grow.
But you know what’s better than telling them about compound interest? It’s showing them how it works with their own money. With the Alliance Buddy account, interest is calculated daily and credited every month. You and your child can review the account balance together, so they can see how their money has grown.With compound interest, you can teach kids that it’s not worth withdrawing their savings for every shiny new thing that comes their way. Instead, the longer they hold on to the money in the bank, the more it will grow – allowing them to save up for something truly valuable in the future.
Besides that, the Alliance Buddy account also offers a bonus profit of 10% on the total interest earned for the year if you do not make withdrawals and you place a minimum deposit of RM100 every month for 12 consecutive months. For example, if you earn a base interest of RM100 on your savings, you could receive an additional RM10 interest. This extra incentive helps teach children that good savings behaviour can be rewarding.
On top of that, when you open a new Alliance Buddy account and make a new six-month fixed deposit placement between 15 October 2021 and 30 June 2022, you’ll enjoy a promotional interest rate of 2.35% p.a.
Set a good parenting example
As any parent knows, your child’s habits (good and bad alike!) are often learnt through observation. So if you want your child to practise good financial habits, it starts with you. After all, it can be confusing for a child to be told they must be careful with money, yet watch their parents not practice the same discipline when spending their own money.
This means getting your finances in order by making sure you have an emergency fund and saving at least 20% of your income with the help of a high-interest savings account like the Alliance SavePlus Account. It also helps to have discussions about your family spending with or around your child – this helps them understand how you prioritise spending.
Build the foundation to reach education goals
Besides teaching your children about great financial habits, one of the best things you can do for your child financially is to help them pursue their dreams. But getting a higher education can be expensive. A four-year pharmacy degree at a university can cost around RM12,000 (for local) or RM200,000 (for private).
To meet these costs, you’ll have to start saving and investing early. One way is through the Elite Kids Saver, an education savings plan to help you prepare for your child’s future. With this plan, you’ll gain access to funds through a college start-up benefit. It also offers insurance coverage to protect your child as you save.
Start your family’s savings journey with Alliance Bank and Pinkfong
With Alliance Bank and Pinkfong, getting kids excited about saving is easy. Here’s how you can get exclusive Pinkfong merchandise when you save with Alliance:
|Alliance Bank Pinkfong Passbook||Alliance Bank Pinkfong Food Bowl||Alliance Bank Pinkfong First Learning Kit|
|Open an Alliance Buddy®/|
Junior Smart Saver-i Account
|Any sign up||Upon account|
Alliance SavePlus/-i Account
(must have an Alliance Buddy® Account)
|Deposit & earmark|
RM2,000 for 3 months
|Deposit & earmark
RM15,000 for 3 months
|Z-Alliance Youngstar Protect||Any sign up|
|Z-Alliance Secure||Any sign up|
|Any sign up|
|Elite Kids Saver||Any sign up||Minimum RM10,000
Annual Premium Equivalent
It’s never too early to instil good financial habits in your kids. Visit Alliance Bank to find out more about how you can start a savings journey as a family.