Money Gifts for Graduates
When it comes to giving graduation gifts, the options are numerous. One way to congratulate the graduate for his educational achievement is to present him with a money gift. Giving just cash as your gift can tend to be impersonal for both you and the recipient. Get the graduate a money gift that is more personal and memorable by making monetary contributions that are geared towards something specific.
Other People Are Reading
-
Savings Bonds
-
Savings bonds are money gifts that grow as they bring interest over the period of time they are held. According to Rutgers, one type of savings bond, the I Bonds, are bought at face value and earn a fixed interest with earnings protected from inflation for 30 years. To give a savings bond gift, simply visit your financial institution and purchase the savings bond for the amount you would like. Have the financial institution mail the savings bond gift to the person graduating. You can get a printed gift certificate from TreasuryDirect.com indicating the savings bond amount and present it to the graduate along with the bond or before the actual savings bond arrives.
Certificate of Deposits
-
Invest in a certificate of deposit (CD) for the student graduating by setting up a certificate of deposit account at a banking institution of your choice. With a certificate of deposit, you deposit an amount of money into an account and the money earns interest during a set period of time. The U.S. Securities and Exchange Commission advises reading the fine print to ensure you understand the terms of the CD. Some things to consider are the maturity date, the interest rate and terms of early withdrawal.
-
Company Stock Shares
-
Purchase some shares for the graduate as a way to give her a gift and get her started on an investment in a company she loves. For example, sites like OneShare.com offer stocks for purchase in different companies like Disney that would be interesting to younger graduates. (See Resources) A money gift in company stock will bring the graduate income over time through any future appreciation on the shares as well as any dividends paid out.
School Expenses & Student Loan Payments
-
Make a payment towards part of the graduate's school expenses. Whether it is a payment towards a student loan for a college graduate or textbook supplies for a high school graduate, this is an excellent gift choice. This kind of monetary gift will help reduce the financial obligations associated with their educational pursuit. For example, according to the Federal Reserve Bank of St. Louis, college costs have risen by 33 percent over an eight-year period since the 2000-01 academic year.
-
References
Resources
- Photo Credit Comstock Images/Comstock/Getty Images
