Saving cleverly for the next generation
One in three savers (33 percent) save money for children, grandchildren or godchildren, according to a recent Postbank survey. But please don’t put it in the piggy bank!
The older the children, the greater the desires
Picture No. 1443, source: Postbank
© ulkas78
Driving license, car and the equipment for your first own apartment: When children get fledged, they usually have some big and expensive wishes. In order to be able to meet these requirements, one in three German savers (33 percent) puts money back for the next generation. This is the result of a current TNS Emnid survey on behalf of Postbank. Those who provide for the offspring use a savings account (38 percent), a home savings contract (31 percent) or life insurance (29 percent) with above-average frequency. Funds and stocks, on the other hand, are not very popular: only 21 percent of those who make up reserves for family members invest the money on the stock exchange; the average is 24 percent. 29 percent of the respondents even prefer to save the savings at home. The ups and downs of the stock market prices seem too uncertain to invest in the christening and birthday money of the children. “If you start saving for the youngsters early on and the savings do not have to be paid out on a fixed date, securities are a good way to generate profits above the inflation limit. It is advisable to buy shares in an investment or ETF fund – this means that investors take a manageable risk, ”recommends Karsten Rusch from Postbank.