With Black Friday behind us and Christmas fast approaching, many will be gearing up for travel, spending time with loved ones and, of course, checking off those holiday shopping lists. And while you may be dazzled by this year’s "Hottest Tech Gifts" or "Must-Have Toys," consider giving gifts that will keep on giving long after the holidays, especially when it comes to kids and young adults.
When I was 12 years old, my grandfather gave me what I thought was the worst Christmas gift ever—shares of a publicly traded stock. Typically, he would give us a cash gift, so this was new and unexpected. He showed me how to look up the stock in the newspaper and track the price. Along with the gift, he taught me about long-term investing, dividends, and other valuable investing lessons. The stock went up and down with varying economic events, but we never sold. The stock happened to perform well, and when I turned 22, the worst Christmas gift ever became the down payment for my first home.
While there are seemingly endless gift options this holiday season, consider one of the non-traditional presents below to help put your loved ones on the path to success:
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
SparkGift: A great alternative to cash (or clothes that kids grow out of), SparkGift offers a simple way to gift shares of stock or mutual funds hassle-free. The site lets you buy fractional shares of individual stocks and shares in a variety of exchange-traded funds, and you can spend anywhere from $20 to $2,000. This concept can serve as a great way teach kids about investing or saving. And, if the recipient holds on to it for a long time period, that gift can keep on giving.
Banking Basics: With most schools on break, December could be a great time to teach kids and young adults about money. Whether it’s a traditional piggy bank or a bank account, it’s important to start the savings conversation sooner than later. Helping a child establish their first account – a foundation of financial education – creates an opportunity to teach about savings, fees and interest. Rather than just opening an account at your current bank, ask your kids to help you research finding the right bank. Understanding the basics and developing good habits early on can be very beneficial to their financial future.
Start a 529: Known as a qualified tuition plan, a 529 is a savings plan designed to cover future education costs at qualified colleges across the U.S. It offers great tax benefits and an option to make a one-time contribution or set up continuous payments. Opening or contributing to the plan for the holidays is yet another opportunity to discuss the ins and outs of finances with your loved ones. Also, consider asking relatives to contribute to the plan as part of their gift—with minimum contributions starting as low as $50, family members can partake in setting up kids and young adults for a lifetime of success.
Taylor Schulte, CFP® is founder and CEO of Define Financial, a San Diego-based fee-only firm. He is passionate about helping clients accumulate wealth and plan for retirement.
-
Medicare Prior Authorization Expands to Ambulatory Surgical CentersStarting in December, Medicare will begin requiring prior authorization for certain procedures when performed in ambulatory surgical centers.
-
Frontier’s GoWild! Annual Flight Pass: Is the $299 All‑You‑Can‑Fly Deal Worth It?Frontier’s GoWild! Pass offers unlimited flights for $299, but blackout dates, standby rules, and fees apply. See who benefits and if it’s worth it.
-
Greed, Fear and Market Volatility: A Financial Adviser's Guide to Keeping Emotions Out of Investment DecisionsDon't panic! And don't be so confident in the stock market that you overlook risk. Instead, be logical. Your retirement security could depend on it.
-
Want a Financial Adviser Who Shares Your Faith? Look for One With a CKA DesignationFinancial professionals with a Certified Kingdom Advisor certification are committed to integrating biblical principles with sound financial advice.
-
10 Ways to Stay Safe From Grandparent Scams and Other Fraud, Courtesy of a Financial PlannerScams are increasingly hard to detect, and anyone can be fooled, from older people to educated professionals. Here are 10 ways to avoid becoming a victim.
-
This Is How the Student Loan Bubble Is Primed to Pop, From a Student Funding ExpertFueled by easy money, inflated tuition and high default rates, the student loan bubble mirrors the 2008 subprime mortgage crisis. We could be headed for a potential financial collapse. What can we do?
-
More Than Money: The Hidden Toll of Financial Abuse of Older AdultsFinancial abuse from schemes involving tech support, government impostors, false sweepstakes, grandchild hoaxes and online shopping issues can cause thousands of dollars in losses.
-
I'm a Financial Planner: Here Are Three High-Impact Ways to Make a Difference With Your DollarsThe world often feels out of control, but here are three ways to use your money — through investments, charitable giving and political donations — to help create a more just and sustainable future.
-
The Unsung Hero of Aisle 5: A Tale of Forgotten Change and Compassion at the SupermarketThis supermarket manager went above and beyond to help when a child forgot her change at the checkout counter. You might be surprised at some of the complications that supermarkets face when it comes to customers' forgotten change.
-
Train, Integrate, Retain: A Strategic Playbook for Adviser OnboardingsBuild a thriving practice by training new advisers with clear goals, structured processes and consistent mentorship for strong team growth.
