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Buying coins for the kids. Need some advice.
Billet7
Posts: 4,923 ✭✭✭
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!
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!
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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.
I do not share your confidence that these coins will grow in value, and therefore, the fun may not ever be realized. JMHO
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edited to say, 5.00 golds, or whatever
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.
Very cool idea and future gifts!
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.
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.
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
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!
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Something like this:
1803 PCGS VF25 Half
AJ
PCGS Registries
Box of 20
SeaEagleCoins: 11/14/54-4/5/12. Miss you Larry!
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.
<< <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).
<< <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?
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.
I knew it would happen.
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.
President, Racine Numismatic Society 2013-2014; Variety Resource Dimes; See 6/8/12 CDN for my article on Winged Liberty Dimes; Ebay
<< <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>
<< <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
<< <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.
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.
<< <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.
PCGS Registries
Box of 20
SeaEagleCoins: 11/14/54-4/5/12. Miss you Larry!
<< <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.
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.
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>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.
<< <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...
Good luck with your choices and enjoy your kids.
<< <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.
Tom
<< <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.
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<< <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)