Daily Tips for Families

Today's Tip for Families

12-20-2021

Help Your Teen Learn to Save Money

Some teens seem to spend their money the instant they get it. A good suggestion for teaching your teen to save is to have him set up a three jar system.

The first jar is for quick change—the money your teen can take out at any time to spend on anything he wants. When it's gone, it's gone—but whatever he decides to spend this money on is his choice (within the limits of family rules). You will keep quiet even if you think it's a waste of money.

The second jar is for medium-term savings. This is where your teen will learn to save for slightly larger items. But it should be used for things he can save for in the short term. He might not be able to afford a car, but he can save up for fancy headphones.

The third jar is for long-term savings, for things such as higher education. Putting a large fraction of his money into this jar should help your teen get into the savings habit. And who knows? It may have a positive effect on the entire family. As Neale S. Godfrey, author of A Penny Saved, notes, "I can't tell you how many parents have come up and told me, 'I drilled saving into my kids long enough that finally it started to rub off on me.' "

Brought to you by:

Webster County Schools

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