Learn to Spend, Save and Give Money

For most people, spending comes naturally. Saving up for something special is harder. And setting money aside for giving is really hard.

The concept of three money jars can help. Each jar represents an activity: spending, saving and giving. When you receive your allowance or a gift of money, divide the money up and put it in each of the three jars. Dividing your money into thirds is a good way to get started, but the amount of money you put into each jar is up to you. Make sure you use clear jars so you can see your money build up in each jar over time.

Dollar bills

Spending Jar

Money placed in this jar can be used to buy anything you like, including small items and fun treats just for you. This is known as discretionary spending.

Piggy bank with coin

Saving Jar

Money placed in this jar is used to save up for more expensive items that you really want. Separating your money helps you set money aside for later.

Hand holding circle with dollar sign inside

Giving Jar

And finally, money placed in this jar is used to give to a charity or to help someone in need. Giving a small portion of your savings will teach you about social responsibility and stewardship by allowing you the opportunity to give back to a cause that you care about.

 

Information in this article is general in nature and for your consideration, not as financial advice. Please contact your own financial professionals regarding your specific needs before taking any action based upon this information.

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