What teens should know about managing their money

Your child may not realize it now, but the personal finance skills they learn today will serve as the foundation for how they manage their money as adults. Here are a few ways your teen can prepare for a successful financial future:

Understand their financial future

If your teen is nearing the end of high school, their mind may be set on college. Have your teen spend some time researching tuition prices, comparing schools and learning the differences between subsidized versus unsubsidized loans. Your teen might be thinking about other big expenses, such as buying a car or saving up enough to move out. Whatever it may be, knowing how to balance a checking account, save for financial goals, use credit and build a good credit history are skills that everyone needs to finance their future.

Open checking and savings accounts

Opening checking and savings accounts in your child’s name will instill responsibility as they put their money management skills to the test. Choose a financial institution with no minimum balance requirements and low quarterly balance fees. This prevents your child from worrying about mistakes and focusing on good money management practices. At Travis Credit Union, we’re committed to helping the youth in our community develop the financial skills needed to succeed. Our Youth Accounts allow your child to engage in the basic principles of earning, responsible spending, saving and investing throughout their teenage years. Stop by a branch of give us a call at (800) 877-8328 to get started with your child’s Youth Accounts.

Practice budgeting

Instilling good financial habits at an early age prepares youths to make sound financial choices as adults. A great way to put money management into practice is through our free Mad City Money Teen Financial Bootcamp. This 3-1/2 hour simulation gives high school students a sense of adulthood with income and bills to pay. The goal is to simulate the realities or approaching financial responsibilities. The session objectives include:

  • Practice budgeting as an adult with realistic circumstances

  • Identify and experience the consequences of poor decisions

  • Develop good judgment regarding spending

  • Understand that budgeting is a necessary step in good money management and that it isn’t difficult

We’re certain that your children will eventually thank you for their financial education. Visit our Free Seminars Calendar to RSVP for an upcoming Mad City Money seminar in your area.

Youth Accounts Free Seminars Calendar