Buying coins for the kids. Need some advice.

Billet7

When we had our first child I decided to spend some money and give him a couple coins that might increase in value during his childhood. At age 21 he can choose to sell them, or add them to his own collection, whichever he chooses. I continued this with the second child, and now that there is another in the oven (so to speak) it falls to me to do it again. Let me give you a few more details:

Total spent on each child: $600 (Plus a silver and clad set of their birth year.)
Coins purchased for child #1: NGC 1932-D XF40 Washington, and ANACS 1932-S XF45 Washington (In retrospect I overpaid for these, since the series was on fire at the time.)
child #2: 1921-D NGC VG8, and 1938-D NGC XF40 Walking Liberty. (I think I got a decent price on these, since the market was sluggish at the time.)
child #3: ????????

Your challenge is to help me decide which two coins I should buy for my third child. I would like to keep it in the 1900's and stick with key or semi key dates, just to keep it similar to the other coins. The two coins should add up to $600 total. What do you think I should get? Keep in mind that I would like to see them appreciate in the next 20 years.

Thanks for the help!

RYK

I am not wild about this idea. I have purchased some bullion equivalents for the children (two) with reservation. I do offer to take them to shows and let them picks coins in which they are interested. I do not purchase numismatic coins on their behalf. In most cases, I would expect the kids to ditch them at the earliest opportunity.

Billet7

I understand the reservations you have RYK. That's one of the reasons I didn't spend more than $600. It's a one time deal and any other money goes into the bank account, mutual fund or education fund for future use.

I still think it's gonna be fun for the kids to see the values grow. In the end I am sure I will end up paying the kids for their coins, and just to be fair I am sure they will all end up with the same amount.

tydye

Buy a roll of 2010 Eagles. Or wait for the 2011 Eagles for the birth year. About $600 or so for 20 coins (bullion).

RYK

I still think it's gonna be fun for the kids to see the values grow

I do not share your confidence that these coins will grow in value, and therefore, the fun may not ever be realized. JMHO

Tdec1000

1921 D mercury dime in vf to xf and a high grade franklin toner key date!!

SeattleSlammer

Go Dad!

BigE

Maybe 3 10.00 golds from countries based on your ancestry------------BigE



edited to say, 5.00 golds, or whatever

airplanenut

I personally don't see this as a great idea. The coins you've purchased are relatively specialized. If your kids happen to grow up, AND decide to collect AND choose those series AND in the grades you've chosen, then you've gotten lucky. If not, the coins are going to be sold no matter what, and you can only hope they've gone up in value. If not, you lose.

I would either buy something that's truly an investment item (bullion--you decide if it's a good idea right now) or just keep the money as money. I think the only good outcome that has any legit chance of working out is that the coins go up in value; I have no idea what the likelihood of that happening is.

Billet7

I respect your opinions, I really do, but telling me not to do something that I have already done doesn't help. I was really just hoping for some ideas on a couple coins.

SeattleSlammer

Billet7, I fear that all joy and precious sentimentality has been sucked from some of our fellow forumites....leaving only the empty dollar in their place. I love your purchases for children #1 and #2......I don't think that you can go wrong with your $600 for #3 if you spend it in a similar fashion.

Very cool idea and future gifts!

Amigo

I like idea Billet. It's not as if it's the only things the kids will recieve. In retrospect, I would've loved having a birth gift such as that. It's very worthwhile IMHO for 600.

SeattleSlammer

PS--as for two coins, I think that a 3-leg Buff in G-VG along with a 21-D Merc in G would be a nice pair for $600.......

BaseballAbs

I would guess that anything you buy would appreciate In the next twenty years. I think the silver set in the childs birth year is a great idea. I don't know that i personally would have used just the 1900's for my criteria, i also don't see the relation with the kids on that. I myself would have choosen something earlier if i was just going to pick a random coin. I would go 1815 quarter in f12, but hey that's just me.
I also agree with RYK that the chances of the kids not sharing your enthusiasm for coins and ditching them at their first chance is a real possibility.
My best advice to you would be stick with the same coin for all the kids or your likely going to have problems when they learn the value differences between each others coins when they are older.

MilesWaits

Your heart is in the right place Billet!

If I was in your place, I would buy something that they, rather than me, might have the best potential for appreciating; and therefore, keeping or understanding.

That would be coins that are related to their birth year, thusly, are intrinsicly intersting to them as an individual.

You are right, you can't go back. Go forward with forward thinking coins/bullion that represent their era rather than yours.

Miles

cjmezz

I have to agree with a few here..i LIKE the idea. For $600 you don't have a whole lot to lose, and you get the chance to sit down with your children and share with them some history as well as a few cool coins.......will they be coin collectors or want the coins when they get older..who knows, but for $600 I think the effort is at least worth that...good luck!
As for 2 coins, I would go with a mid level grade $5 Gold Liberty (common date) and maybe a 1/10oz AGE........just a thought!

heavymetal

Every year for Christmas (except last year), I buy my 2 kids Proof Eagles and a silver proof set from the US Mint. I am trusting that the brilliant finish of the proof sets and the ASE's classic- style design will set the hook and make them life-long collectors. If this strategy doesn't work, they have a small silver investment at the least.

AnkurJ

How can value be guaranteed? I personally would find the nicest untampered with Bust half I could find. I just feel that classic coins will hold their value better and will be easier to resell. And when I say hold their value better, they probably wont drop or go up AS much as the next hot thing.

Something like this:
1803 PCGS VF25 Half

AJ

RedTiger

Personally, I have stated my opinion many times on the forum that I think it is a dumb idea to give little kids expensive coins. Many kids will ditch the coins first time they need money for a date, or a ski trip or a new video game, and some will sell them at the local pawn shop for 10 cents on the dollar. You say age 21, so are you going to keep possession until then? Are you open to the thought that your kids are going to be average kids and will ditch them like many other kids do with gift coins first chance they get? Some kids are worse, they misplace the coins. Another common occurence is for other young "friends" to steal the valuable coins from them. Unfortunately, each of these scenarios is probably more likely than a kid growing up to be a serious coin collector.

So for that reason I would suggest a few coins of high sentimental value, and low dollar value to give to the kids. If a person has to do it, and could choose any coin, not the common as dirt 20th century "keys," I'd go for gold coins or perhaps platinum or a 10 ounce silver bar, but that doesn't fit your parameters.

If you really don't know, and still want to move with your plan, throw darts, and shop hard and look for deals. The quality of the deal will likely mean more than which particular coins are picked. All the 20th century coins in the group are extremely common and readily available. There often trade at substantial discounts (often like 50% of full retail) for a well connected, or hard bargaining buyer, or patient buyer, or all three of those characteristics.

airplanenut

<< <i>I respect your opinions, I really do, but telling me not to do something that I have already done doesn't help. I was really just hoping for some ideas on a couple coins. >>

Sorry, I was giving that partly to convey my opinion on what you should get this time around. It's true that I don't agree with the approach thus far, but that just shapes my reasoning for what should be done this time. I'm also giving my opinion by putting myself in the shoes of a 21 year old; I feel qualified since I'm 23. If you're really set on buying a classic of some sort, I'd go for older and better grade. I think it's easier for many to enjoy high quality pieces with a lot of history if they don't collect that series than a more worn, better date, especially if the latter shows a design that's still seen in circulation (which may or may not be the case in 21 years).

BaseballAbs

<< <i>How can value be guaranteed? I personally would find the nicest untampered with Bust half I could find. I just feel that classic coins will hold their value better and will be easier to resell. And when I say hold their value better, they probably wont drop or go up AS much as the next hot thing.

Something like this:
1803 PCGS VF25 Half

AJ >>



Ankur J, is that your coin your trying to unload?

Billet7

Thanks for all your comments, keep them coming. Just want to clear something up, the coins will reside in a safe deposit box, myself and my wife are the only signers on the account. The coins cannot be lost or sold until we decide to remove them from the safe deposit box. Physically giving expensive coins to kids IS a bad idea.

jmski52

2010 Hockey Pucks. In 20 years, they ought to be nicely-toned in a sdb. The only real problem is that with silver climbing, you probably won't be able to get all 5 of this year's issues for under $600.

Alternatively, a 2010-W Proof Silver Eagle and a 1/4 oz. 2010-W Proof Gold Eagle. Or, if you worry about the quality of the Proof ASE, just go with the Proof 1/10 oz. and 1/4 oz. AGEs.

RedTiger

Maybe the next generation will be more mature than the current one. Many 21 year olds that I meet have a low maturity level. I'd say the odds are 50/50 that the coins will be gone in three months after each child takes possession at age 21. That may be via sale at the local pawn shop for next to nothing, to finance some short term consumer expenditure, or misplacing the coins during a move, or having them stolen by "friends." If you are okay with those scenarios, go ahead with the plan. Otherwise just consider them to be your coins, and give them something of low dollar value, high sentimental value, hopefully with a story attached.

I know it is difficult for collectors buying for their kids to accept, but the "Norman Rockwell" scenario of the young man or woman becoming a serious coin collector and having two coins that have increased substantially in value is unlikely.

fcloud

I like the 1921 merc idea already suggested and how about a Red Indian Cent to go with it.

RYK

<< <i>2010 Hockey Pucks. In 20 years, they ought to be nicely-toned in a sdb. The only real problem is that with silver climbing, you probably won't be able to get all 5 of this year's issues for under $600.

Alternatively, a 2010-W Proof Silver Eagle and a 1/4 oz. 2010-W Proof Gold Eagle. Or, if you worry about the quality of the Proof ASE, just go with the Proof 1/10 oz. and 1/4 oz. AGEs. >>


There are good arguments for bullion coins: they are made of precious metal, they are very liquid, and they can be bought/sold with relatively tight spreads to their value, they are attractive, and they are in terrific condition. What's not to like?

If I purchased a VG-8 Walker for my son, he would likely sneer at it, and my wife would make plans to have me committed. That's something that's for a newby hard to fall in love with.

If you are hell bent on buying coins for your kids, why not get them involved in the decision. If it is truly their coins (and not a convoluted way to buy them for yourself and rationalize that they are for your kids), perhaps they should be part of the decision making process and not some blowhards on a forum that do not know them, their tastes, their interests, etc.

crypto79

<< <i>

<< <i>2010 Hockey Pucks. In 20 years, they ought to be nicely-toned in a sdb. The only real problem is that with silver climbing, you probably won't be able to get all 5 of this year's issues for under $600.

Alternatively, a 2010-W Proof Silver Eagle and a 1/4 oz. 2010-W Proof Gold Eagle. Or, if you worry about the quality of the Proof ASE, just go with the Proof 1/10 oz. and 1/4 oz. AGEs. >>


There are good arguments for bullion coins: they are made of precious metal, they are very liquid, and they can be bought/sold with relatively tight spreads to their value, they are attractive, and they are in terrific condition. What's not to like?

If I purchased a VG-8 Walker for my son, he would likely sneer at it, and my wife would make plans to have me committed. That's something that's for a newby hard to fall in love with.

If you are hell bent on buying coins for your kids, why not get them involved in the decision. If it is truly their coins (and not a convoluted way to buy them for yourself and rationalize that they are for your kids), perhaps they should be part of the decision making process and not some blowhards on a forum that do not know them, their tastes, their interests, etc. >>



I believe he asked for suggestions not judgment RYK, you're coming off a little condescending and to mock his earlier purchases is a little unlike you

RYK

<< <i>

<< <i>

<< <i>2010 Hockey Pucks. In 20 years, they ought to be nicely-toned in a sdb. The only real problem is that with silver climbing, you probably won't be able to get all 5 of this year's issues for under $600.

Alternatively, a 2010-W Proof Silver Eagle and a 1/4 oz. 2010-W Proof Gold Eagle. Or, if you worry about the quality of the Proof ASE, just go with the Proof 1/10 oz. and 1/4 oz. AGEs. >>


There are good arguments for bullion coins: they are made of precious metal, they are very liquid, and they can be bought/sold with relatively tight spreads to their value, they are attractive, and they are in terrific condition. What's not to like?

If I purchased a VG-8 Walker for my son, he would likely sneer at it, and my wife would make plans to have me committed. That's something that's for a newby hard to fall in love with.

If you are hell bent on buying coins for your kids, why not get them involved in the decision. If it is truly their coins (and not a convoluted way to buy them for yourself and rationalize that they are for your kids), perhaps they should be part of the decision making process and not some blowhards on a forum that do not know them, their tastes, their interests, etc. >>



I believe he asked for suggestions not judgment RYK, you're coming off a little condescending and to mock his earlier purchases is a little unlike you >>


Dude, I call 'em like I see 'em.

Edit: Actually, nearly all of my post was in the form of suggestion. If I were offering judgment, however, I would say that the idea is stupid, but since I was not, I will not say that.

LotsoLuck

Morman gold

veryfine

How about a solid VF-20 12-S nickel and a sharp 21 Peace dollar in XF or AU?

Bayard1908

Mercury dimes in Proof 66 or 67. They are way down in price. I'd buy a 1938 and a 1939.

RYK

Here's another suggestion:

Trade the old stuff out, and buy them each a 2008-W Buffalo $5 proof. $600 is close to the price point for these. It's usually best when the children are gifted equally.

AnkurJ

<< <i>

<< <i>How can value be guaranteed? I personally would find the nicest untampered with Bust half I could find. I just feel that classic coins will hold their value better and will be easier to resell. And when I say hold their value better, they probably wont drop or go up AS much as the next hot thing.

Something like this:
1803 PCGS VF25 Half

AJ >>



Ankur J, is that your coin your trying to unload? >>



Nope. If it were mine I would keep it!
I just bought a 10ounce Australian Tiger for my daughter for her first Christmas. As with all of my coins, my wife and kids will get them when I am gone, and full instructions will be included as to what do with them. I have codes on the back of every coin I own which tells what I paid.

airplanenut

<< <i>I believe he asked for suggestions not judgment RYK, you're coming off a little condescending and to mock his earlier purchases is a little unlike you >>

I rather like what RYK wrote. It was honest and well explained. And at least as far as I'm concerned, it's all correct.

melvin289

I wish someone had had the foresight to have spent $600 on rare coins for me when I was born. Can you imagine what $600 would have bought on November 29th, 1948? (today is my 62nd birthday) (well it's past midnight on the right coast) I would be a rich man today.

determined

I don't have kids but I have been thinking for a long time about getting my nieces and nephews coins. First I thought bullion. Then I thought some choice graded collectible early US coins.

But I keep balking on the idea. They are not interested in coins - at all. Having no interest they may very well lose or misplace them over the years. Or because they don't know the coin business, they might end up selling them for much less than they are worth.

So I've decided to not get them coins. I will help with school and anything else if needed. And when I die there will be money for them from my own investments and coins.

But since they have no interest in coins I think it could be misplaced money.

But Billet7's situation may be different.

GrumpyEd

For kids.... I don't see that kids will enjoy having two key coins. As a kid I'd have been eager to play with them and ruin them.

Why not break the 2 coin idea with the 3rd one and buy a bag of wheats and a couple of folders. Throw in a few better dates so there's something to find. That way they can play with them and have fun filling folders and still have something good. It might even cause an interest in coin collecting.
If you want something smaller get $600 worth of mixed unc silver coins.

Whatever you get is fine, it's the thought that counts. Someday hopefully the kids will see it as that, something you did because you cared about them.

crypto79

<< <i>For kids.... I don't see that kids will enjoy having two key coins. As a kid I'd have been eager to play with them and ruin them.

Why not break the 2 coin idea with the 3rd one and buy a bag of wheats and a couple of folders. Throw in a few better dates so there's something to find. That way they can play with them and have fun filling folders and still have something good. It might even cause an interest in coin collecting.
If you want something smaller get $600 worth of mixed unc silver coins.

Whatever you get is fine, it's the thought that counts. Someday hopefully the kids will see it as that, something you did because you cared about them. >>



I think this is a very good idea and adding/salting a few keys in the bag should light a decent fire in the pups.

RedTiger

<< <i>I wish someone had had the foresight to have spent $600 on rare coins for me when I was born. Can you imagine what $600 would have bought on November 29th, 1948? (today is my 62nd birthday) (well it's past midnight on the right coast) I would be a rich man today. >>



With my luck, they would have waited a couple of years, and then bought multiple 1950-D nickels, the hottest "investment coin" of its day, and it would be worth maybe $200 now. That's not that far different from buying keys and semi-key dates today, because they have gone up 20 years straight.

p.s. happy birthday...

DrBuster

What kind of Indian or early gold can you get for 6hundy? Could you get a $2.5 injun and then maybe one or 2 of the state commem halves??

pmac

I personally find your gifts perfect. They are not budget busters, they reflect your interests, and might be something of you that they keep to remind them of your thoughtfulness at their birth. To keep with your premise of 20th century coins, I would suggest the first year issue of two great silver coins, the Walker 50c and Peace $1. I think silver is going to be much coveted when they are of age. Buy the best grade of both to add up to your $600 range.
Good luck with your choices and enjoy your kids.

GritsMan

I weigh in on getting something related to his/her birth year. 2010 might turn out to be a pretty interesting year with regard to the quarters, for instance. I'd go ahead and get one of everything: a silver proof set, a mint set, a proof silver eagle, and (as suggested) a 1/4-ounce proof eagle--just keeping in mind that they may all turn into pretty baubles. My own birth year sets absolutely stink, but today's could do better. I've made similar purchases for my own two kids, but remind myself that coin collecting interest may greatly contract by the time they are older.

garrynot

How about going with some copper. For example, a 1908-S Indian and a 1909-S Lincoln in grades that will total $600.

TwoSides2aCoin

Pre 33 gold. I'd choose a $2.5 Gold Indian and a $2.5 Gold Liberty. If they're raw, they feel better to the touch. If they're in plastic, they look better on paper. It's a tough choice ... $600 doesn't go too far, but obsolete gold will as "intriquing goes".

TPRC

<< <i>I personally find your gifts perfect. They are not budget busters, they reflect your interests, and might be something of you that they keep to remind them of your thoughtfulness at their birth. To keep with your premise of 20th century coins, I would suggest the first year issue of two great silver coins, the Walker 50c and Peace $1. I think silver is going to be much coveted when they are of age. Buy the best grade of both to add up to your $600 range.
Good luck with your choices and enjoy your kids. >>



I agree with this OP--The gifts are terrific and represent pretty intelligent choices. For the third, if it were me, I would buy early, no problem, circulated type--bust halves, dimes, etc. I know you can't buy much, but you could certainly get 2 circulated type pieces in vf or so.

Tdec1000

<< <i>I like the 1921 merc idea already suggested and how about a Red Indian Cent to go with it. >>



I agree with Fcloud and bayard!! Mercs are underpriced IMHO.

lkenefic

FWIW I tend to agree with some of the other respondents in that its more likely that they'll cash in your purchase at a fraction of the real value and you would probably do better with savings bonds. However, there's also the possibility that they won't and they'll have a real leg up if they do get interested down the line. In the 600 dollar range, I'd opt for either a decent 1914 D Lincoln and a nice 1908 S IHC or a couple of 19th C type pieces... AU Barber Half and possibly a Seated Half... But this is more my comfort zone...

fiveNdime

<< <i>I personally find your gifts perfect.
To keep with your premise of 20th century coins, I would suggest the first year issue of two great silver coins >>


i have for my son, a birth year SAE & proof set and a silver round birth announcement "ITS A BOY" engraved with birth details.

thus far, he only likes dimes... his favorite number is 10.



being a kid and not into coins, i would have determined the value, sold it and bought what i wanted... (thanks DAD)