When children become teenagers they tend to start spending more money and parents tend to let them have control of their money. It is therefore a great age to teach them about budgeting so that they start off with good habits that will last through the rest of their lives.
Checking bank balance regularly
It is very important to be aware of exactly how much money you have or else it is impossible to budget. Therefore it is good to show teens that they need to keep a constant check on their bank balance. This will mean that they will know what they have most of the time and therefore know what they can afford to spend.
Keeping enough money for the essentials
Although teenagers tend to still have their essential needs paid for them by their parents, it is important to show them that they need to cover their basic needs before spoiling themselves. You could try just explaining this to them or you could give them responsibility for buying themselves things. Maybe you think they should buy their own toiletries or shoes or something like that. You might want to give them some money towards it but then make sure that is what they spend it on.
Saving Some money each time you get some
It is always good to get in to the habit of saving some money when you get some rather than spending it all. This is because you will have money to cover you in emergencies. Teenagers do not have emergencies but they may need money for things like birthday gifts for their friends, holidays and things like that and it is good to have money put by. If they always do this it means they will not have to rely on loans such as payday loans when they get older and need to pay for bills.
Only buying things you really need
Teaching them that you should not just spend money for the sake of it is very important. There are some people that seem to feel that money is there to be spent and so if they have some they have a need to buy something with it even if it is something that they do not need or even want. It is wise to make sure that they realize that having savings is a good thing and so holding on to money is much better than feeling that they have to spend it.
*Guest post by Travis H.