For my son and daughter’s birthdays, they each get $10 for every year that they are old. Actually, that’s not entirely true. I’ve given them $50 for every birthday until their 6th. On their 6th, I then give $10 for every year that they are old… Once they hit 10 years old, I’m increasing the amount above age 10 by $20 instead of $10 per age. So when they are 11, they will get $120 instead of $110 as before.
My Birthday Money Gift Schedule is below:
this is simple enough, I’d like to make it more interesting. So what I decided to do is start to invest my money into a stock that pays a dividend. Then once the dividend provided by the stock is high enough, I’ll use that money to pay for my son and daughter’s birthday money gift.
I don’t expect to have enough money initially in the first few years, so that’s where the challenge will come from. I need to find a source of money to put into the Stock Dividend Fund
Perhaps I will try to sell stuff on eBay again (I did this in the past). That would be a fun challenge! Or perhaps I’ll try to get a side job working at something. What I don’t want to do is channel my earned income into the fund. Between my kid’s 529s and brokerage accounts… I’m pretty tapped!
Do you think this is a good idea? And do you think that what I contribute for birthday money is enough?