Money Management Tool: How Best to Help Your Teen Budget Well
Keeping up with a teen is never an easy task, especially when teaching them good money management skills. However, at CalendarBudget, we know that the best way for teens to learn good spending and saving habits is getting them started early. That’s why our team has collected some important tips for you here.
Below you’ll find some ways how using a money management tool and some good common-sense skills can help your teen get on the right track and save for the future.
Involve Them in Financial Decisions
It’s no secret that children learn by example, so involve them early on in some of your financial decisions. Doing so could be something as simple as having them sit down and help you plan the next visit to the grocery store or help to plan the next family vacation. At their younger age, ideas are far easier to understand and made solid through visual examples and through experience.
Encourage them to Earn their Own Money
Teens need to earn their own money, not only to begin saving, but to also have some spending money for fun. At this age, they might want to begin setting aside money for a car or moving into an apartment down the road. Having them get a part-time job and earn money for themselves can help them test their money management skills and learn what type of savings and budgeting plans work for them.
Show them the Importance of Investing for the Future
These days, there are many different ways teens can invest for their future, either through opening a savings account that accrues interest or investing in savings bonds. Stress the importance of making low-risk investments that will accrue interest over a long period.
Help the Budget
Helping your teen set up their budget and track their money with a money management tool can be a great way for them to visualize what a good, working budget looks like and plan for the future. CalednarBudget’s will make it a lot easier for your teen to understand their money management habits when they use the calendar layout to have a clear visual on when they typically spend their money and other important financial habits.
Teach them the Dangers of Debt
Lastly, but certainly not least, it’s important to teach your teens the dangers of going overboard with a credit card and incurring debt. One way to do so might be by encouraging them to make small purchases with a credit card, paying it off regularly before they incur interest. This will also help them build good credit.
Contact us for more about our money management software!
If you want to get your teen started on the right track, we can help. Contact us today to start your FREE, 30-day trial of one of the best money management apps!