Home > Money Management > How to Teach Your Teen to Manage Money

How to Teach Your Teen to Manage Money

October 31st, 2012 Leave a comment Go to comments

Watch more How to Improve Family Relationships videos: http://www.howcast.com/guides/365-How-to-Improve-Family-Relationships

Subscribe to Howcast’s YouTube Channel – http://howc.st/uLaHRS

With these tips, teach your teen to manage money — and save a little yourself.

Howcast uploads the highest quality how-to videos daily! Be sure to check out our playlists for guides that interest you: http://howc.st/ytmainplaylists

Subscribe to Howcast’s other YouTube Channels:
Howcast Health Channel – http://howc.st/HOE3aY
Howcast Video Games Channel – http://howc.st/tYKKrk
Howcast Tech Channel – http://howc.st/rx9FwR
Howcast Food Channel – http://howc.st/umBoJX
Howcast Arts & Recreation Channel – http://howc.st/vmB86i
Howcast Sports & Fitness Channel – http://howc.st/vKjUjm
Howcast Personal Care & Style Channel – http://howc.st/vbbNt3

Howcast empowers people with engaging, useful how-to information wherever, whenever they need to know how. Emphasizing high-quality instructional videos, Howcast brings you experts who provide accurate information in easy-to-follow tutorials on everything from makeup, hairstyling, nail art design, and soccer to parkour, skateboarding, dancing, kissing, and much, much more.

Step 1: Model behavior
Model the behavior you desire. Get your house in order and discipline yourself before you curb them, so that your advice and counsel has credibility.

Step 2: Say no
Say no to your teen. Many parents lack the gumption — don’t be one of them.

Step 3: Control their spending
Help control your teen’s spending by educating them about wants and needs. Allowing them to have a credit card only temporarily forestalls the conversation about responsibility.

Step 4: Use allowance
Use allowance as a tool through which they can experiment with their own money, allowing them to suffer the consequences when money is wasted. The results will be priceless.

Tip
Many financial companies offer services for monitoring your teen’s credit card account.

Step 5: Teach planning
Teach them to plan, which may include getting a part-time job to purchase desired objects.

Step 6: Help them make a budget
Help them develop a budget, teaching them to acknowledge each expenditure and to organize their basic material desires.

Step 7: Set saving goals
Set goals for a savings account aimed at future needs like college, trips, and marriage. Agree to reinforce this with small matching contributions on your part.

Tip
Teach sound investment strategies to your teen, or have someone who knows what they’re doing help.

Step 8: Allow a pre-paid card
Allow the teen to have a prepaid debit card instead of a credit card. There is no government bailout authority that will reinforce poor money management for your family.

Did You Know?
By 2008, over 91 million U.S. households had at least one credit card.

Duration : 0:1:49


[youtube askEIFVMY2c]

Categories: Money Management Tags:
  1. xboxcodgod323
    October 31st, 2012 at 15:08 | #1

    ~~~~~~~~~~~~~~~~~~~ …
    ~~~~~~~~~~~~~~~~~~~~READ~~~~~~­­­~~~~~~~~~~~~~~~~~~~~~
    Get a free $50 iTunes giftcard or 4000 Microsoft points!
    Step 1: Download the FREE app “app trailers” through the app store or play store market.
    Step 2: Type the code “rewardspoints” into the bonus code bar of the video section.
    Step 3: Go the the redeem subsection to receive the reward of your choice!
    The whole process will take a maximum of 2 MINUTES!!!!!!
    Offer valid thru December 2012, take advantage of it while you can!!!!

  2. SangtotheDy
    October 31st, 2012 at 15:08 | #2

    asian parents don’t …
    asian parents don’t usually give allowance.. or understand it

  3. kenuhawaii96
    October 31st, 2012 at 15:08 | #3

    my parents dont buy …
    my parents dont buy me so i have to save me money

  4. SixteenSkye
    October 31st, 2012 at 15:08 | #4

    LOL! I don’t even …
    LOL! I don’t even get an allowance. We’re not poor, we’re quite well off… I just save all the money from my birthdays and Christmas. I also don’t go spending my money like an idiot and buy every new shiny phone that’s put infront of me.

  5. StuGaZzZ1
    October 31st, 2012 at 15:08 | #5

    i wanna save money …
    i wanna save money to buy a new guitar but u cant. if i got moneyz in my hand i want to do somethink with em :d

  6. Sims29
    October 31st, 2012 at 15:08 | #6

    you can save money …
    you can save money by not signing your kid up for a credit card.

  7. xxxar0wxxx
    October 31st, 2012 at 15:08 | #7

    why would u donate …
    why would u donate your mone yas a child if its such a small amount, may sound sad but its true

  8. deadrival1
    October 31st, 2012 at 15:08 | #8

    The Boxee Box! 😀
    The Boxee Box! 😀

  9. brutaka359
    October 31st, 2012 at 15:08 | #9

    @007Silverfin …
    @007Silverfin That’s y we watch them 🙂

  10. changemy1
    October 31st, 2012 at 15:08 | #10

    As a teen you can …
    As a teen you can make serious money online for FREE.
    /watch?v=mQ_OdG2ixfE

  11. Edgar Vega
    October 31st, 2012 at 15:08 | #11

    i wish my parents …
    i wish my parents were this easy like this it takes alot of years to get what you want and i dont get an allowance

  12. Laura12378
    October 31st, 2012 at 15:08 | #12

    But is it smarter …
    But is it smarter to have one or just have a checking account

  13. LordHines420
    October 31st, 2012 at 15:08 | #13

     arent you special.
     arent you special.

  14. bananaxmeat
    October 31st, 2012 at 15:08 | #14

    it’s not a HAVE TO
    it’s not a HAVE TO

  15. Laura12378
    October 31st, 2012 at 15:08 | #15

    This isn’t very …
    This isn’t very helpful… It’d be easier to have a “How to manage money FOR TEENS” I don’t get an allowance, I’m to young to get a job. -__-‘ I already knew everything they said, my only question is “Does someone HAVE to have a credit card?”

  16. cookiemaniac14
    October 31st, 2012 at 15:08 | #16

    i sell candy at my …
    i sell candy at my school now! i get 20 bucks a day!! what i do is divide my money into spending money and saving money. i put my spending money in my wallet and the rest in a piggy bank (lol). this way, im not tempted to spend it all at once!

  17. RenoZemrak
    October 31st, 2012 at 15:08 | #17

    i would hate to …
    i would hate to have a mom like her

  18. SpottedLeopardCat
    October 31st, 2012 at 15:08 | #18

    Or you could give …
    Or you could give your child a credit card but set a spending limit on the card…that way…they still learn how to spend wisely while building their credit score

  19. AvryQuick
    October 31st, 2012 at 15:08 | #19

    id tap dat bitch
    id tap dat bitch

  20. Edgar Vega
    October 31st, 2012 at 15:08 | #20

    i wish i had an …
    i wish i had an allowance 🙁

  21. luddomatic
    October 31st, 2012 at 15:08 | #21

    her mom is bitch
    her mom is bitch

  22. kookooacho
    October 31st, 2012 at 15:08 | #22

    White Americans!?

    White Americans!?
    You don’t know all of them, so you can’t say all of them are…
    (and I’m not white) but that was a very ignorant answer!

  23. LordHines420
    October 31st, 2012 at 15:08 | #23

    i wouldnt mind …
    i wouldnt mind teaching her a few things… before she ends up looking even more like her mother. jesus. put the god cheezy poofs down and get on a treadmill. that should save some money.

  24. Ernest Cheung
    October 31st, 2012 at 15:08 | #24

    white americans are …
    white americans are trash with money.
    i dont receive allowance and only buy necessities
    when i ask

  25. MniToster
    October 31st, 2012 at 15:08 | #25

    I already have a …
    I already have a stable money source

  1. No trackbacks yet.