How to manage money: What every teen should know

So you’ve hit your teens and are ready to launch into the next phase of your life – high school, part-time job, university, full time job, not to mention a car and travel along the way. As you would have learned by now, living costs money and the more financial freedom your parents give you during your teens, the more you are going to have to take responsibility for your money and what you do with it.

Earning money opens up a whole new world of possibilities. Despite what some may think, teenagers and money do mix quite well. The best way to capitalise on achieving what you want by what date is to set a clearly thought out plan in action.

40 ways to save money

Stick to a budget

Whatever age you are, it?s never a good idea to spend every cent you earn. That means doing a budget and sticking to it to avoid overspending and to make your money stretch.

The art of living on a university budget…

How do I budget?

Write down your income and expenses. By expenses I mean things such as food, rent, car insurance, uni fees, phone plan – all necessary expenses get priority over the latest gadget on the market. Try our great Online Budget Calculator to get you started.

Save the leftovers

Once the necessary expenses have been taken care of, the balance that?s left should go into a savings account. That way, the money will mount up for a rainy day or it can be used to save for that special goal such as a new iPad, car or holiday.

Compare savings accounts here

Being sensible with money now and learning the confines of budgeting will get you off to a good start on the road to achieving what you want in life.

Back to Youth Banking