Windhoek
“Your example is everything when it comes to teaching children about money. Your kids are watching you. If they see you set a goal, save and pay money, they will want to do the same,” says author Rachel Cruze.
This is the reason why parents like Safoora Adam and Arina van Wyk recently opened Digi Youth savings accounts for their children at Standard Bank. For them it is all about showing the children the importance of saving money in order to develop into financially savvy and responsible adults one day.
“It teaches my children financial independence at an early age. It is not just the parent’s responsibility, but also the child. For instance if they like something in a shop they can save up for it and buy it later. Instead of demanding to be bought things, we as parents need to empower them to do it for themselves by using their own savings to get something,” said Safoora Adam, a mother of three.
Ever since she opened the accounts last year for her son, 13-year old Yaseen, and daughters Laaiqah and Fatima, aged 11 and 9 respectively, she has noticed a positive change in the mindset of her children, where they take the initiative – under her guidance – to purchase what they need.
“I gave them each N$500 as pocket money when they visited their grandmother and it was quite nice to see them pay for items they bought at the till with their bank cards, checking their till slip and remembering their pin.
“At the same time I also encourage them to use their money wisely and responsibly – a need versus a want is what they need to determine when spending their money and also saving at the same time for a rainy day,” adds Safoora who’s owns SafMed Pharmacy in Windhoek.
As the apple never falls far from the tree, Safoora relates how her father also opened her first Standard Bank account when she was 14 years old. “My father is the reason for my success today. I started from a tender age being financially responsible and today I manage my own pharmacy – thanks to my dad,” adds Safoora smilingly.
Sharing the same sentiment, Arina van Wyk says places specific amounts of pocket money into her children’s bank accounts on a monthly basis.
“Saving money is everyone’s choice. What works for me and my kids are that they have become more prudent and responsible in the way they have been spending their money. What is nice is that I can simply transfer the funds from my Standard Bank account into theirs, without any transactional costs,” says Arina.
She adds that when a child saves money, it is not a mathematical event but a maturity event that enhances financial freedom.
“I’m going to save up for Play Station 4 games, which I have always wanted, says 13-year-old Yaseen Adam with a pleasant grin on his face. His youngest sister, 9-year-old Fatima Adam, is all too happy to be saving up to buy her favourite jewellery. According to her mother, her middle child Laaiqah Adam has turned out to be the money-wise girl in terms of saving her funds for later.