What to do with money gifts

Growing up, all of our parents were the same with money gifts. If you got money for birthdays or Christmas from family members, it was put straight into your savings account. You were not to touch that until you turned 18. What's the problem with that? Saving is great!!! Well, that chunk of money wasn't large enough to help pay for college, so what did we do instead? We blew it quickly and usually on something of little to no meaning. Just like that, after all those 18 years of saving.....that money was gone!  

There were of course the few who allowed their kids to spend it as it came in, but isn't that overwhelming with extra toys, books or crafts all at once? Especially for those like me with kids who have birthdays right next to Christmas. I mean, no thank you! I surely wouldn't want to add that much chaos (purposefully) in my house all at once.  With that chaos in mind, our family decided to take a different approach. When they get money from relatives, we start by putting it into their savings account. Throughout the year, whenever they see that brand new toy come out, an outfit they just "have to have" or decide they want more art supplies, they simply ask to spend the money in their account.  Don't get me wrong... we for suuuure put a limit on how often they get to spend it. This though gives them the ability to spend or save as they please.

They now have the ability to take ownership of their money! Not only take ownership, but it gives them the excitement of things they enjoy throughout the year instead of all at once at a birthday or Christmas.  

So shout out to all the amazing parents, grandparents, aunts, uncles, and anyone else for the gift of money!  And don't forget...have fun shopping with your kiddos!