Racking your brain trying to figure out what to get younger kids for the holidays? For years, I asked mine what they wanted for Christmas only to get “I don’t know” or even no response.
Clothing is subject to sizing and, more important, fashion fads, leaving your choices often sitting unused in a closet. No one will ever forget poor Ralphie Parker and the pink bunny suit from A Christmas Story.
Or toys that were used a few times and set aside. It’s just not easy.
Well, I have an idea that has worked for my family — and was adopted by several clients over the years. It’s a three-part plan:
- Something for today
- Something for the future
- Something for others
The something for today is easy: gift cards. The kids can pick things they want, improve their computer skills, and actually can learn a little about budgeting, too.
Next comes something for the future: a 529 college savings account.
We all know how expensive an education can be. And while adding to an account each year may not cover the whole cost, every little bit helps.
Note that while referred to as “college accounts,” these plans provide a lot of flexibility to help pay for college, trade/vocational schools and more.
There are nice tax benefits under these plans, and plans are available in every state plus Washington, D.C., so you can find one that best meets your preferences.
The recipient goes online, selects a charity (or charities), and funds are sent directly to the nonprofit.
Finally comes something for someone else, through a charity gift card. Several years ago, I discovered TisBest Charity Gift Cards, and it has been a hit with my grandchildren each year since.
You buy a gift card that allows the recipient to make donations to any of thousands of nonprofit organizations. It’s super easy to buy the cards online, and the recipient goes online, selects a charity (or charities), and funds are sent directly to the nonprofit.
You, as the donor, even get an email when the recipient makes the donation so you can discuss with the child.
There is a very small processing fee to buy the cards. And the card purchase price is 100% tax-deductible. Click here to check it out.
It’s important to communicate gift ideas with your young loved ones. I have written a letter each year to include with the gift card and TisBest card, explaining my reasons for the three kinds of gifts.
I talk about the importance of getting a good education, hoping they can buy some nice things for themselves, and the importance of giving to others and encouraging them to pick charities they want to help.
The letter should be heartfelt and make them feel wonderful about this holiday present.
Try it. I think you and your kids and grandkids will love it!