Financial Holiday Gifts for Young Adults
The holidays are approaching and many of us are searching for the perfect gift to give young adults in our lives. Most young adults love to receive money for the holidays. However, if you are searching for something more meaningful, you may want to consider a financial holiday gift that invests in the young adult’s future instead of simply handing him or her cash that will be gone within a week.
Seven Financial Holiday Gifts That Have Long-Term Impacts for Young Adults
Depending on your relationship with the young adult, some financial gifts may be more appropriate than other gifts. The following seven financial gifts can be a great way to let a special young adult know that you want to invest in their future and truly make a difference in their lives for many years to come.
Seven financial gifts to consider this holiday season include:
1. Contributions to a Roth IRA
A Roth IRA is a great way to begin saving for retirement. By opening a Roth IRA and making a contribution, you encourage a young adult to begin saving for the future. The young adult can continue contributions through automatic deductions from their paycheck or bank account each month.
2. Life Insurance Policy
Many young adults do not understand the value of purchasing a life insurance policy when they are young. The younger you are when you purchase the policy, the lower the premiums will be for the life of the insurance policy. Locking in insurability when a person is healthy and young can be a great investment in the future. Consider purchasing an affordable policy and paying the premiums each year as a recurring holiday gift.
3. Student Loan Payments
If the young adult has student loans, making a payment on the student loans can help the young adult get out of debt quicker. It may not seem like an exciting holiday gift, but the young adult will appreciate the financial assistance when he or she realizes the student loan will be paid off quicker with your contribution.
4. Personal Budgeting Program
One of the best ways to secure your financial wellbeing is by learning how to prepare and live within a personal budget when you are young. You can help a young adult learn how to budget by purchasing a year’s subscription for a budgeting program. There are several great personal budgeting programs available online, including Mint, YNAB (You Need a Budget), Quicken, and Acorns.
5. Stock Certificates
If you have a favorite stock or a stock that may have special meaning for the young adult, purchasing shares of that stock in the young adult’s name can be a wonderful holiday gift. Your gift may encourage the young adult to continue investing in stock as a form of retirement planning.
6. Credit Monitoring Programs
A young adult may not fully understand the importance of a great credit rating. Sadly, many young people are victims of credit fraud, which ruins their credit and can prevent them from accomplishing many of their financial goals for 10 or more years. With the risk of cyberattacks and stolen financial identities, investing in a quality credit monitoring program can be an excellent financial gift for a young adult.
7. Meeting with a Financial Planner
It is never too early to begin working with a financial planner. Paying for a consultation with a financial advisor can help a young adult learn more about financial planning, identify financial goals, and develop a plan for reaching those goals.
The Castle Wealth Group Helps Young Adults Plan for the Future
The Castle Wealth Group offers classes and individual counseling for tax planning, retirement planning, estate planning, Social Security, Medicare, and long-term care planning. We can help the young adult in your life develop the knowledge, tools, and skills necessary to prepare for a strong financial future.
If you have questions, call (844) 885-4200 to speak with a knowledgeable representative.
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