Tips for starting to save early in life

One of the greatest gifts you can give grandchildren is the gift of financial literacy. Helping them save money early in life and showing them how to make wise spending decisions go a long way toward a bright financial future. As they get older, they may want to save for special purchases or their college education. You can encourage them when they get their first job to begin saving for the future, including their retirement.

When you celebrate their graduation from high school, you can also remind them to set up a “my Social Security” account. They need to be 18 or older, have a U.S. mailing address and a valid email address, and have a Social Security number. Although their retirement is many years away, you can explain the importance of reviewing their earnings record each year since Social Security uses that record to compute their future benefits. As they start their first major job and begin saving, they’ll be able to monitor the growth of the estimates of benefits available to them. Learn more at social security.gov/myaccount.

The U.S. Treasury recently introduced a retirement savings account for a simple, safe and affordable way to save for retirement. It’s perfect for people whose employer doesn’t offer a savings plan. There are no costs or fees to open and maintain a myRA account. The account won’t lose money and is backed by the U. S. Treasury. Individuals choose the amount to save. The account is portable and moves from job to job. The account owners can withdraw the money they put in without tax or penalty. Learn more at myra.gov.