Ideas for Smart Financial Gifts to Give This Holiday Season

Giving the usual store-bought holiday presents can feel off at a time when so many people are worried about their finances. Perhaps more fitting this season are gifts that set someone on a firmer path to financial independence or help them become a better saver or investor.

Here are some ideas for gift-givers to make someone’s holiday merrier — and financial future brighter. The options, ordered by price, range from books about the psychology of money to Bitcoin to even more creative, career-oriented options such as screenwriting classes.

Books for the money-minded reader:
$50 — “Getting on solid financial ground is about consistently making lots of small decisions over a long period,” says financial planner Christopher Struckhoff of Lionheart Capital Management. “While I’m not discounting contributions to a college 529 plan or a Roth IRA, a good book can help in building that mindset.” Struckhoff likes to give friends and clients “The Psychology of Money: Timeless Lessons on Wealth, Greed and Happiness” by Morgan Housel. It is the rare personal finance book that is being turned into a movie. He also likes “How I Invest My Money: Finance Experts Reveal How They Save, Spend and Invest” by Joshua Brown and Brian Portnoy. And a classic Struckhoff likes to give is Burton Malkiel’s “A Random Walk Down Wall Street.”

For stock watchers:
$100 — These days fractional share programs allow pretty much anyone to buy portions of stocks they might not otherwise be able to afford. Stakes like this given to a child, for example, could be housed in a custodial account at a financial firm where you already have an account. When you create and contribute to a so-called UGMA account (short for Uniform Gifts to Minors Act) or UTMA (Uniform Transfers to Minors Act), it’s an irrevocable gift, but one you control until the child is 18 or the age of majority in your state. Keep in mind that 20% of the account value will count in applications for financial aid to college.