Best Financial Gifts for Kids and Grandkids This Holiday Season

A Gift That Keeps Giving

The holiday season is often a whirlwind of toy aisles, wrapping paper, and sugary treats. But amidst the hustle, some gifts can do more than spark a smile for a day — they can provoke a lifetime of learning.

Imagine a child opening a gift box and finding not just a toy, but a small savings account in their name. Or a teen receiving their first custodial investment account, giving them a stake in the real world of stocks and bonds. These financial gifts for kids and grandkids may not be as flashy as the latest gadget, but they carry lessons that last far longer.

At Tenet Wealth Partners, we often see how thoughtful financial gifts can introduce children to money management, investing, and long-term planning — skills that will serve them for decades. Let’s explore ideas for the best financial gifts for kids and grandkids this holiday season.

Why Financial Gifts Make a Difference

It’s not just about money. It’s about teaching values. A financial gift is an opportunity to:

• Show the value of saving and investing
• Encourage thoughtful decision-making
• Introduce the power of compound growth
• Support educational goals or major milestones

Studies show that children who learn about money early tend to develop healthier financial habits as adults. A gift that starts these lessons now is a gift that keeps giving.

Top Financial Gifts That Work

• Savings Accounts: The First Step – A simple savings account, especially one managed under the Uniform Gifts to Minors Act (UGMA) or Uniform Transfers to Minors Act (UTMA), can teach the basics of saving. Children can see their money grow, understand deposits and withdrawals, and get excited about reaching a goal — whether it’s a new bike or a weekend adventure.
• 529 College Savings Plans: Investing in Education – Education is one of the greatest gifts you can give. A 529 plan offers tax-free growth for college expenses, helping families prepare for future tuition costs. Contributing early means children can benefit from years of compounding — a real-world lesson in the power of patience and planning.
• Custodial Investment Accounts: For Older Kids – For teens or older children, a custodial account allows gifting of stocks, ETFs, or mutual funds. This is not just a financial gift — it’s a first lesson in investing. Watching an investment grow over time teaches patience, risk management, and the basics of the stock market.
• Financial Education Tools: Learning Through Fun – Books, games, and apps that teach financial literacy complement these accounts. Interactive lessons on budgeting, saving, and investing can make learning about money enjoyable. Pairing these tools with one of the aforementioned accounts reinforces the lessons in a hands-on way.

Making Financial Gifts Memorable

A gift is most effective when it’s engaging. Here are some tips:

• Explain the gift clearly: Share why it matters and how it works
• Start small: Even modest contributions can make a big impression
• Combine with a fun gift: Balance the financial with the playful
• Teach along the way: Use the gift as a teaching moment to discuss saving, investing, and setting goals

The Long-Term Impact

A financial gift is not just a present — it’s a foundation. Over time, it can grow into a significant resource, supporting college costs, starting a business, or even contributing to retirement. Beyond the dollars, it instills confidence, responsibility, and a sense of empowerment in children and grandchildren.

Looking for the perfect financial gift this holiday season? Contact us or schedule a consultation to learn how to give gifts that can teach, inspire, and grow.

 

 

Disclosures: Investment advisory services offered through Tenet Wealth Partners, LLC, a registered investment advisor with the U.S. Securities and Exchange Commission. This material is intended for informational purposes only. It should not be construed as legal or tax advice and is not intended to replace the advice of a qualified attorney or tax advisor. This information is not an offer or a solicitation to buy or sell securities. The information contained may have been compiled from third-party sources and is believed to be reliable.

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