A penny saved is a penny earned

“A penny saved is a penny earned.” This old saying is a little confusing but it does relate to the idea of difficulty in saving money. Spending a penny, or any other amount, means the person no longer has it in his possession, while saving it means he can still count it as something earned and saved.

Given the devaluation of pennies today, this may have added a new variation to that saying. It is true people don’t need to look far to find pennies littered on the ground, since single coins of this value possess little purchasing power now but many years ago, you could still purchase penny candy at your local store. On the other hand, collect them all and place them through a coin machine and they may truly represent savings. Many people keep change and penny cans at home to deposit all loose change, and after a while these saved pennies and other currency can add up.

Children are never too young to start learning ways to save. Some parents open a savings account for their kids, and encourage them to put money away in it every month. This is what I did with my kids and every time the kids made a deposit, I would match the amount. That way, if my kid put in 5 or 10, then I would match that, putting in 10 or 20 in his account. This alone is often enough incentive for kids to step up their savings.  The most important thing is to get started early and encourage kids to save on a regular basis so they can learn the value of saving. Why not give them the opportunity to try this challenge to see if your kids can put some pennies in savings for an entire year! Just look at what the results could be!

Save those pennies

We sometimes forget that coins carry value. If you have loose change in your wallet or purse, you’re more likely to spend it or lose it in the depths of your car or couch cushions.

Put your excess change daily into a jar or piggy bank. Once you have a healthy stash, you can take your coins to the bank and deposit them into savings!

Other countries have stopped minting pennies, Australia, Norway, Sweden & Canada. Pennies are worth less than they cost to make. Those countries must round-up to the nearest nickel. It is rumored that the US may follow suit with the pennies, so for now, save your pennies!

Here is a great starter chart for your penny saving, and its a good one to share with kids:

 

Savings plans and challenges for the new year

With the new year, its a good time to consider a savings plan or a savings challenge. Some are very easy to follow, the cost is inexpensive, even taught to your kids, for pennies a day.

I have attached 6 different programs that I think are worth sharing.

I plan to start the reverse 52 week one this year. Good luck with your saving challenges and share these with your friends and families.