5 Ways to Save Money for Descendants


One of the strongest motivators for saving money is taking care of your offspring. Who among us has not thought about the fact that children and grandchildren will need our help in the future, most often financial support.

Each parent chooses for themselves how exactly to keep a money supply for their children. It is worth considering factors such as inflation, economic stability, and the ability to quickly convert the investment portfolio. That's why many people today refuse to keep their cash reserves at home. But there are many other options on how to save money for descendants.

1 way: investing in real estate

The housing problem has become a common expression. The need to provide housing for children is still relevant for many, despite the growth of construction around the world. And that is why many investors still choose a rather difficult, expensive and frankly speaking, cumbersome way of investing money. It is an investment in real estate. On the one hand, it is convenient: when your children come of age, they will receive the keys to their own real estate. On the other hand - all the time until the very moment of the keys transfer you will have to maintain the property in a living condition, pay the bills to the management company and utilities. Yes, you can rent out your property while you are waiting. But anyone who at least once was in the role of landlord knows how difficult and expensive it is to rent out the property, to control tenants, and still receive a significant profit from their investment.

The second way: investing in technology.

Technology rules the world. This is what Richard Branson, Bill Gates, Elon Musk and many other "iron men" of our era made their fortunes on. You can also follow their example and invest your money, for example, in the shares of a well-known technology tycoon. There are also those who literally intuitively sense promising types of startups, and invest in them. This is also a good option, but only if you have some understanding of the very technologies in which you want to invest. Don't discount the fact that technology today has time to become obsolete faster than it can be implemented in society. This makes investing in high-tech a risky business.

Method 3: Deposits in the bank under the names of children and grandchildren

Even our grandparents tried to support their grandchildren with name deposits in the bank. When a child is born, a named account is opened in the child's name, where parents or relatives can deposit money whenever possible. And here we face the same risks as in case of keeping cash: devaluation, inflation, and dependence on the economy. In world practice there are a lot of examples of bankruptcy of financial institutions and depreciation of deposits.

4 way: investing in cryptocurrency

Cryptocurrencies are constantly causing a stir today. But they also have their weaknesses. For instance, the oldest of such currencies is only 10 years old so far. And the lack of physical collateral for any token makes investing in it risky and not yet fully proven. We once covered the disadvantages of investing in cryptocurrencies  and they are worth keeping in mind when thinking about how to save money for posterity.

Way 5: Investing in gold

Our 5th way has several distinct advantages for you:

  • Your children can see and touch what you are leaving them as an inheritance, because you always have bars physically with you.
  • Gold bars are a long-term investment. They rarely drop in value enough to cause concern about the appropriateness of such an investment; moreover, the price of gold only increases over time.
  • Gold is easy to convert, you can turn it into jewelry or sell it, put it on deposit in a bank.

Investments in gold have historically been the most profitable and easy way to save money for generations. And the experience of our ancestors is worth considering even today.