When parents sign up for a Three Jars membership, an account is also created for their child. Parents choose how much and how often to pay an allowance, and these payments — along with any gifted money — are posted to the child’s Three Jars account. Parents hold the actual cash, while Three Jars tracks each child’s earnings.
Kids choose what to do with their money: save it, spend it, or share it. There are several investment options, which allow a child to earn interest from their parents as though they had put their money in a bond, CD, or high-yield savings plan. Kids can spend their money by requesting cash or gift cards, and the sharing option allows kids to make donations to the charity of their choice. While kids manage their own accounts, all financial decisions require parental approval.
It’s a fun and secure way to teach financial responsibility, and Three Jars makes monthly donations to causes chosen by the community of kids using the service.
Three Jars recently changed its name from FiftyP