Teens Need Financial Help

Be Sure to Also See: Money Management For Teens

There are certain conditions under which our teens would need financial help. Whether it’s money for tuition, books, incidentals, clothing, or general items – more often than not they will come to you for money.

From their perspective, they have always received what they needed from mom and dad. At what point, then, do you need to teach your teens about money so they can take care of themselves when the time comes?

It is a good idea to teach children about the value of money early on. From the time they are given their first allowance, they are told to put the money into their piggy bank and save it for when they really need it. While they have no concept of money at a young age, it’s still a good place to start.

As the children become older and reach their teen years, parents may assist them in opening a checking account or savings account. If they are properly taught how to manage their money, they will be able to make decisions that are financially sound.

Teens who think that “money grows on trees” require an entirely different learning experience. For example, other than the necessities of life, teens may ask for “walking around” money or a few dollars to go to the movies, the mall, or hang out with friends. If they drive, they might ask for gas money, restaurant money, and a variety of other incidentals that might come up during the course of a week or weekend.

If this is the case, it’s time to teach teens that you are not the national bank, but that there are ways in which they could earn money and become financial responsible. Applying for a part-time job after school is one way. Another is baby-sitting for neighbors’ children, or asking them if they have any jobs that need to be done on the weekend. If you combine these earnings with the allowance you give them, they will no doubt accumulate enough money to pay their own way.

Now comes the difficult part – teaching them how to utilize their savings in an appropriate manner. Just as you may discuss the family budget with your kids, teaching teens how to set up their own budget may be a wise decision. By having teens write their own budget, they can visualize and comprehend the importance of money earned versus money spent in order to maintain their budget.

This is the first step towards teaching teens financial responsibility. In addition, it will give them confidence in their decisions and will allow them to make mistakes and learn from them.