Hope for your financial life and beyond

What Is a Savings Account and Does My Child Need One?

As part of my return to blogging after a brief absence, I’m going to be writing a series of posts that answer some basic money questions.  Even for seasoned consumers, it’s important to return to the basics from time to time, if nothing more than to solidify in our minds why we do these things. So today I’m going to be answering the question what is a savings account?

And I’ll be answering some FAQs at the end – one in particular about savings accounts for children.

Savings 101

what is a savings accountOther than spend, there is no more basic activity to do with money than to save it. People save for many reasons. But the main purpose of saving is to have a store of money for needs, for wants or for emergencies.

You can save money anywhere. If you are like most people, you probably have a small amount of cash at your home. But the majority of people who want to save large amounts of cash do so by opening a savings account at local bank.

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3 Reasons Kids Should Watch Every Moment of Olympic Coverage

Today my kids will drag themselves out of bed and head back to school. Unfortunately, our back to school season is clashing with another major world event happening right now – the 2016 Olympics in Rio de Janeiro. So there will be no more 10-hour, lying on the couch veg-out sessions, flipping back and forth to the many channels of Olympic coverage.

I have to admit I love the summer Olympics. I can do without the opening and closing ceremonies, which I know many people love. But I’ll take anything and everything else that happens. The Olympics are a sports enthusiasts dream.

My love affair with the Olympics started in 1984 when they were hosted by Los Angeles. I was 11 years old and still remember being in awe of the athletic performances. If you are under the age of 25 and have never heard of Carl Lewis, Edwin Moses, Mary Lou Retton, Greg Louganis or the Zola Budd collision you need to spend some time on YouTube. Great athletes with great performances in a great atmosphere.

Now I’m raising four kids who are growing up in an age where there is a greater variety of Olympic events and they have greater access to them. There weren’t 7 stations broadcasting the competitions in those days. And we certainly didn’t have streaming options via computer or mobile phone app.

So far my kids are eating this up. There have only been a few days of Olympic coverage but they are fixed in the TV room, cheering the USA on at every turn. I’m usually one to limit TV and computer viewing because I don’t think it’s healthy for kids to be looking at a screen all day.

But here is why until the Olympics are over I’ll be stretching the viewing limits and bedtimes a little farther even with school being in session.

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Back to School Tips to Manage Your Crazy Mornings

Next week my kids head back to school. YES and DOUBLE YES! They will hate that I’m saying that but after two long summer months it’s time to get back to the school thing. And to celebrate that, I’m going to remind my kids (and all of you who are reading) of some back to school tips that help us manage our crazy mornings.

back to school tipsMornings during the school year can be hectic…am I right? After all the days of sleeping in during the summer, suddenly you are forced back into an early wake up call. And in the span of an hour it seems like you do 100 things to get inside the school building just in time.

It doesn’t have to be so hectic. In fact, I could count on one hand the number of times last year where we were truly rushed and almost didn’t make it to school.

Those who know me will say, “But you only live seven minutes from school!” To which I say, it doesn’t matter. When I worked in education I knew of people who lived that close and seemed to be late every day. So with that in mind, here are some back to school tips that we’ve learned over our 11 years of seeing our kids off to school.

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Cheap Christmas Activities for Kids to Cure the Boredom

Several weeks ago my kids had several days off for Thanksgiving break. Within two hours of being home from school they were showing signs of boredom. I guess being out of their natural school routine was a shock to their system and they didn’t know what to do. Sound familiar?

christmas activities for kidsIt occurred to me that a more serious situation would be coming up soon – two weeks for Christmas break. Yikes! What Christmas activities for kids could I find to keep them from being bored out of their mind for that length of time?

Really it’s only the first week of break that is a concern – the week leading up to Christmas. So that’s five days or so that I have to keep them busy. After the 25th – with all the presents they receive – they usually have enough to occupy their interest and keep them busy until they return to school.

Of course I will grant them a small portion of their time to watch some TV and play video games. They’ve earned it with all the hard work they’ve put in at school. But I don’t want those two activities to take up the majority of the day.

And I certainly don’t want to be spending a lot of money on activities seeing how we are already spending a lot for gifts.

So here are some Christmas activities for kids I’ve come up with and will do my best to implement over that first week of Christmas break. I don’t know how original these are but by golly my kids are doing them. I don’t want to hear them whining about being bored.

Christmas Activities for Kids

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Attention 9th Graders: Some Focus Right Now Will Make You Rich

Thought I would perform a public service announcement today for the freshman out there starting high school this fall. I don’t have any good tips on how to avoid getting stuffed in your locker or fighting off that wedgie as you change after gym class. You might just have to endure those things…such is the right of passage into high school.

dissecction in biology

Focus – Work Hard – Be Rich

What I’d rather do is snap your mind into place as you start taking classes and get you thinking about the future.

Sound boring? Listen, I get it. The last thing you probably want to think about right now is studying for a literature test. And those Algebra I problems…ugh! When are you ever going to use that in real life?

I’m not going to try and convince you of the practical uses of Algebraic principles once you graduate high school. What I do want you to know is that your approach to Algebra (and all your other classes) has huge implications for your future. In fact, what you do right now – this 9th grade year – could eventually make you rich.

The Two Biggest Challenges of High School

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Why I’ll Cherish Every Moment of the Next Four Years

It’s a Milestone Monday of sorts at our household. Today at 7:45 I’ll be dropping off our four kids for their first day of school. That may seem ordinary but it’s not the start of just another school year for us. This year is a bit more special.

hourglassOur oldest daughter Kelly is entering high school.

14 years down.

4 more to go.

Four more years until…

…she likely moves out for the first time.

…she doesn’t regularly join us at the dinner table.

…she isn’t in our home church each and every Sunday.

…she really learns what it’s like to depend on herself.

…we face the college tuition bill (oops, sorry…that’s a tangent of thought for another day).

I used to not care about this stuff. When she was two, high school and college seemed so distant. I’d find myself in circles of older parents who would say, “Cherish these moments because it will fly by so quickly.” I’d politely nod at their exhortation and think, “Sure, sure…I won’t miss anything.”

Now I wonder where all the time has gone. Why did it happen so fast? How can it be 14 years since my first child was born?

Ironically, now I’m the older parent sharing the value of cherishing time with those just getting started on the journey.

Everything Has Its Time

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How to Protect Your Child From Identity Theft

Most adults realize the dangers of identity theft and take reasonable steps to protect themselves. However, did you know that child identity theft is a growing problem? In fact, The Center for Identity at the University of Texas at Austin estimates that a child is 35 times more likely to have their information stolen than an adult.

So why is a child’s identity so attractive to a thief?

3 Reasons Children Are Targets For Identity Theft

identity theft cartoonFor starters ­a child’s Social Security Number (SSN) is clean. The chance to obtain an untainted SSN that has no credit history or credit problems is very attractive. It is significantly easier for a thief to combine a child’s unused SSN with a new name and address.

Another issue is that securing a child’s SSN is also much easier. In many circumstances the culprit ends up being a family member or another person known by the family.

Social security numbers can be found in public spaces such as a doctor’s office, school, and on forms at athletic recreational leagues, clubs or other organizations. We’d like to trust the workers at those locations who set eyes on the forms that contain our kid’s information but some have used their position to gain access to SSNs.

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Dodging Sex and Money Conversations With a 6-Yr. Old

Ever wondered when to have sex and money conversations with your kids? My suggestion…take it slow and only share when they are ready. You have to be alert and on guard for these moments or you could make a mistake, like I almost did the other day when this happened to me…

The chore of walking our dog is a daily ritual. As I lasso him up for another stroll my six-year old son asks to join us. Sensing this would be a great bonding experience I say, “Sure buddy, come on” and we head off into the subdivision.

spidermanThe first few minutes are filled with the usual blathering that can only come from a six year old. I’m not even really paying attention given his topics have no connection to reality. I mean really…what’s the point of responding in depth to questions like “Can Spiderman shoot his webs underwater?” or “What if animals controlled people?”

Oh boy (cue eye roll). This is going to be long walk. Think I’ll keep the responses simple. “I don’t know, bud.” “Oh yeah…that would be crazy.”

Then, in the midst of the mundane, comes THAT topic every parent knows they will have to address but is never quite ready for. And it started like this…

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Top 7 Ways to Raise a Money Smart Kid

Being a father of four I appreciate the value of raising money smart kids. Please welcome today Ruby Andrew as she shares with us some important steps parents should be taking with their children.

Financial values and good spending habits are one of the important life skills parents can teach their children. These lessons have a great effect in shaping the financial life aspect of a child.

Indeed, it is imperative for parents to begin teaching their children these financial lessons at an early stage. Here are seven lessons that should be a must for any parent to teach.

Start talking early enough about money

It is really important for a child to understand more about money. What money can buy, where one gets money and how one spends money.

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The Biggest Home Security Issue Everyone Is Missing

When it comes to home security issues, we typically think of analyzing and paying for the basics: quality dead bolt locks, an alarm monitoring system, and multiple smoke detectors. Maybe we also purchase a dog for the heightened sense of awareness they bring. These are all commonplace methods to deter entry into the home and keep us feeling safe.

home securityYet there happens to be another major home security issue that is usually overlooked. This one is so big it’s hurting individuals and destroying families. Though we know it’s out there we refuse to take the necessary steps to stop its incursion into our home.

What could be so devastating?

The lack of internet security as it relates to online access of pornography.

Your failure to attentively monitoring the use of technology – mainly the access to apps and the Internet on computers and mobile devices that have become the main tool for the distribution of pornography – may be causing untold damage to your family.

Why the Internet Is a Big Home Security Issue

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Why My Kids Love That We Are Not Buying Christmas Presents This Year

I love Christmas! Giving and receiving gifts is one of the highlights of our family’s year. In my mind nothing beats it for family togetherness and sharing expressions of love.

no Christmas presents As a parent though, I’m often hit with a January hangover. My headache comes from watching the majority of the presents I bought for my children lie dormant in a corner of their room. I would say that over 80% of the toys my wife and I purchase the kids each Christmas are played with a couple of times and then left to collect dust. That’s frustrating considering the money we shell out for them.

So last year we asked them to make a list of the items they wanted. They did. We bought them. Same issue occurred.

I’m not mad at the kids. I guess we just have trouble hitting their toy sweet spot.

So just the other week my wife and I decided to do something different this year. We aren’t buying any Christmas presents. To our surprise, when we told the kids what we were doing, they were 100% enthusiastically behind it.

Our Alternative to Christmas Presents

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