He just purchased a toy the other day that cost as much as he had saved up. I explained to him that this would mean that he had no more money to spend. He seemed to grasp the concept at the time, I guess the real test will come the next time we are in the toy section and he can’t buy any toys because he spent all his money already. I think he understands saving his money to a small degree, but maybe it is just that he forgets he has it to start with until he sees something he wants and mom and dad won’t buy it for him. These are the progressive challenges we are facing with him and money.

On another note about savings, we hope that our two children will someday go to college. My wife and I both attended college and have benefited greatly. I have some friends from High school who didn’t have time or some other lame excuse for not going to college and I must say for the most part my wife and I are significantly financially better off then them. I’m not trying to be rude here but it does make a difference if you go to college or not. So that being said we want our kids to go. We have started a small college fund for them but it is difficult to consistently put money into it.

While we are talking about saving, I just wanted to plug a YouTube contest being put on by an online savings bank, FNBO Direct call the Pay Yourself First Challenge. This could be a great way for people to get some new ideas on how to save for their kids. If you are so inclined and want to join the challenge check out the web page at: pyfchallenge.com and submit your video to the group page on YouTube. There are prizes awarded just for submitting a video to the challenge, and there is a chance to have your savings matched dollar for dollar up to five thousand dollars. Anyway, check it out you never know.