Throughout their teenage years, your children will begin to develop their personal money management style. Offer them some assistance by suggesting these four financial lessons from AbbyBank.
1. Securing Their First Job
No matter if it’s babysitting, lifeguarding, or bagging groceries; there are plenty of employment options for eager high school students. These opportunities typically start at minimum wage with zero benefits, but offer a foundation of experience and learning. Talk with your son or daughter, and help them select positions to apply for that resonate with them. Resources such as the Chamber of Commerce and local newspapers often list local job openings, and are a good place to begin.
Teach your children the positive effect proper money management can have on their pocketbook. Start by opening both a savings and a checking account for your teen. Each pay period, help them figure ten percent of their earnings to put into their savings. You can also work with them one-on-one each month to help balance their checkbook and plan for any large expenditures. The younger they begin good financial habits, the better they will continue with them.
3.Saving for College
If your son or daughter plans on attending a college or trade school, the time to start saving is now! Secondary education can be costly. Work with your future student to determine an educational budget, by providing an estimate of upcoming expenses. Based on that estimate, you can set savings goals for both you and your teen. The sooner you begin your savings journey, the smoother the road will be to achieve your goals.
Whether it’s purchasing their first car or simply covering the cost of meals at school, learning how to maintain a payment plan is an important life lesson. Explain your personal budget system to your teen and see how they can tailor it to their needs. Once they have understand the process, gradually add payments to your child’s list of responsibilities. Even if you are adding the money to their account, this will help them learn to keep an updated payment calendar before they graduate high school.
Money management is a continual learning process. There are always new techniques or tricks to better arrange your finances. Continue to develop your teen’s money management abilities even after these four lessons – stop by AbbyBank and see how you can keep increasing your family’s financial skills today!