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Savings are such an important part of life and we can guide children about the money saving box. Savings come in handy in situations when we need them a lot - for any emergencies that you may not have planned for. But apart from contingencies, savings are also crucial in achieving certain goals – like an expensive holiday or an investment in which you need to put a lump sum immediately. It is income that isn’t spent or used up and can be considered as a deferred consumable. Today, people can save in many ways:

• Savings account

A lot of people save by putting their money into savings accounts. These accounts are created in banks so that one can keep their funds here. Banks are a convenient place to hold your savings because they offer protection and liquidity at the same time. Of course, it is different from having money in hand, but it is safe and you can withdraw it any time or move it around any time.

• Liquid money

Liquid money or liquid cash is the physical currency that is with you. You can keep it in a money saving box which is commonly known as a piggy bank. Piggy banks are not just for kids, it can be for adults as well. Of course, it doesn’t have to be in the shape of a pig, but a rectangular box with locks can work too. Both adults and children can benefit a lot from a money saving box.

• Investment in stocks or property

People also save by investing in certain things such as stocks or property. Some kinds of stocks and shares provide liquidity faster than something like property.

Money Saving Boxes

These boxes are an excellent way of making small savings. All the change that you don’t bother with or small currency notes that you haven’t used can go here. Put it in once and then don’t worry about it. Later, when you are searching for some cash, open this up and you will find treasure. Well, a sort of treasure because it came in handy when you needed it.

A money saving box is also an excellent lesson in teaching a child to save. A habit of saving is so essential for everyone and it is never too early to start. A money saving box or a piggy bank can help in developing this habit.

Piggy banks are very old and date back 600 years when proper banks didn’t exist. People stored their money in jars and pots of clay. Pots were made from orange colored clay called “pygg”. And later when potters received requests for pygg banks, they made pig-shaped containers.

Kids love getting a piggy bank because it looks like a toy and here are reasons why you must give your child one.

• It sets a great example of how a little every day can go a long way, resulting in a big sum.
• It reinforces a saving philosophy in them as they watch you put in coins or notes. Even when you give little coins, they will want to put it in their piggy bank.
• If the child receives cash from relatives as gifts, they can again put it into the savings bank or piggy bank. This way, at an opportune time they can break it open and buy something for themselves. This reward at the end will definitely reinforce the saving philosophy.
• If the child doesn’t have a place to put money in, they will lose it. With a piggy bank, they know where to put it, even if you aren’t aware when they have received some money.

A money saving box or a piggy bank is an excellent method of paving the way for savings, when it is even more important in adult life.